Loading...
10-13-2015 City Council Regular Meeting Packet City of Grand Island Tuesday, October 13, 2015 Council Session Packet City Council: Linna Dee Donaldson Michelle Fitzke Chuck Haase Julie Hehnke Jeremy Jones Vaughn Minton Mitchell Nickerson Mike Paulick Roger Steele Mark Stelk Mayor: Jeremy L. Jensen City Administrator: Marlan Ferguson City Clerk: RaNae Edwards 7:00 PM Council Chambers - City Hall 100 East 1st Street Grand Island Council Session - 10/13/2015 Page 1 / 175 City of Grand Island Tuesday, October 13, 2015 Call to Order This is an open meeting of the Grand Island City Council. The City of Grand Island abides by the Open Meetings Act in conducting business. A copy of the Open Meetings Act is displayed in the back of this room as required by state law. The City Council may vote to go into Closed Session on any agenda item as allowed by state law. Invocation - Pastor Todd Bowen, Grace Covenant Church, 418 West 12th Street Pledge of Allegiance Roll Call A - SUBMITTAL OF REQUESTS FOR FUTURE ITEMS Individuals who have appropriate items for City Council consideration should complete the Request for Future Agenda Items form located at the Information Booth. If the issue can be handled administratively without Council action, notification will be provided. If the item is scheduled for a meeting or study session, notification of the date will be given. B - RESERVE TIME TO SPEAK ON AGENDA ITEMS This is an opportunity for individuals wishing to provide input on any of tonight's agenda items to reserve time to speak. Please come forward, state your name and address, and the Agenda topic on which you will be speaking. Grand Island Council Session - 10/13/2015 Page 2 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item C-1 Proclamation “International Alpha Delta Kappa Month” October 2015 A great portion of the nation's working force are women in education. Alpha Delta Kappa is an international honorary organization of women educators dedicated to educational excellence, altruism and world understanding. Mayor Jensen has proclaimed the month of October 2015 as "International Alpha Delta Kappa Month" in the City of Grand Island. See attached Proclamation. Staff Contact: Mayor Jeremy Jensen Grand Island Council Session - 10/13/2015 Page 3 / 175 Grand Island Council Session - 10/13/2015 Page 4 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item D-1 #2015-BE-10 - Consideration of Determining Benefits for Water Main District 466T - Airport Road Council action will take place under Consent Agenda item G-13. Staff Contact: Tim Luchsinger, Stacy Nonhof Grand Island Council Session - 10/13/2015 Page 5 / 175 Council Agenda Memo From:Timothy Luchsinger, Utilities Director Stacy Nonhof, Assistant City Attorney Meeting:October 13, 2015 Subject: Water Main District 466T – Airport Road Presenter(s):Timothy Luchsinger, Utilities Director Background Water Main District 466T installed a 16” diameter main along Airport Road from ¼ mile east of Highway 281 to Sky Park Road. The district was a part of the Utilities Department’s Master Plan and completes the backbone loop in the northeast part of the water system. Construction has been completed and complies with all aspects of the plans and specifications. Discussion The total cost of installing the water main within the boundaries of District 466T was $1,045,868.05. When customers desire to tap into the referenced water main, they are required to pay a connection fee. The connection (tap) fee for properties within the district is based on a value of $59.7679869 per front foot. However, the fees are not collected until the user connects to (taps) the main within the district’s boundary and receives municipal service. Attached for reference are copies of: Tabulation of connection fees for the properties within the district The district’s boundary plat Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee Grand Island Council Session - 10/13/2015 Page 6 / 175 3.Postpone the issue to future date 4.Take no action on the issue Recommendation It is recommended that the Council sit as a Board of Equalization and establish the connection fees for the properties within the district. Sample Motion Move to sit as a Board of Equalization to establish the connection fees for the properties within Water Main District 466T. Grand Island Council Session - 10/13/2015 Page 7 / 175 Grand IslandCouncil Session - 10/13/2015Page 8 / 175 Water Main District 466T Addresses- 8/11/2015Map IDConnection FeeFront Ft.ParcelProperty AddressDescriptionOwner NameOwner AddressOwner City StateZipA $78,828.001,318.9400187310 304 E Airport Road Part of the E1/2, SW1/4, Section 33-12-9 Bradley R. Petersen 1134 E. Capital Ave. Grand Island NE 68801B.1 $155,133.792,595.6400187388 3230 N St Paul Road Part of the S1/2, SE1/4, Section 33-12-9 Oscar Jr. & Rose Ann Bredthauer (North side of Airport Rd.) 3230 N. St. Paul Road Grand Island NE 68801B.2 $76,467.161,279.4400205394 3170 N St Paul Road Part of the N 11AC of E1/2, NE1/4, Section 4-11-9 Oscar Jr. & Rose Ann Bredthauer (South side of Airport Rd.) 3230 N. St. Paul Road Grand Island NE 68801B.3 $39,446.87660.0400356031 527 E Airport Road Part W1/2 of the NE1/4, Section 4-11-9 Oscar Jr. & Rose Ann Bredthauer (South side of Airport Rd.) 3230 N. St. Paul Road Grand Island NE 68801C $76,921.401,287.0400187450 1201 E Airport Road Part of the W1/2, SE1/4, Section 34-11-9 Arthur E. & Dixie L. Ostermeier- Trustees 3600 W. Whitecloud Road Grand Island NE 68803D $75,905.341,270.0400187442 1308 E Airport Road Part of the E1/2, SW1/4, Section 34-12-9 Alice R. Erion 1807 W. 1st Street Grand Island NE 68803E $19,490.34326.1400215810 1325 E. Airport Road Part of Lot 1, Wilson's Subdiviision Darling National, LLC, an Iowa Limited Liability Company 251 O'Connor Ridge Blvd. STE 300 Irving TX 75038 f/k/a National By-Products, Inc.F $89,143.951,491.5400475278 1203 E. Airport Road Lot 1, Garden Place Copart of Connecticut, Inc., a Connecticut corporation 14185 Dallas Parkway, STE 300 Dallas TX 75254G.1 $39,446.87660.0400205432 611 E Airport Road Part of the NW1/4, NW1/4, NE1/4, Section 4-11-9 Douglas R. & Tamara K. Petersen 1414 E. Capital Ave. Grand Island NE 68801G.2 $60,915.531,019.2400205564 379 E Airport Road Part E1/2, NW1/4 Section 4-11-9 Douglas R. & Tamara K. Petersen 1414 E. Capital Ave. Grand Island NE 68801H.1 $190,863.093,193.4400215799 1743 E Airport Road Part of Lot 1, Wilson's Sub., Petersen Farms, Inc. (South side of Airport Road- Lot 1, Wilson Sub.) 1420 E. Capital Ave. Grand Island NE 68801H.2 $9,849.76164.8400187493 1622 E Airport Road Part of W1/2,W1/2, SE1/4, Section 34-12-9 Petersen Farms, Inc. (North side of Airport Road) 1420 E. Capital Ave. Grand Island NE 68801H.3 $21,779.45364.4400187922 1648 E Airport Road Lot 2, Wichern Sub. Petersen Farms, Inc. (Lot 2 Wichern Sub.) 1420 E. Capital Ave. Grand Island NE 68801I $7,889.37132.0400187469 1510-1512 E. Airport Rd. Part of W1/2, W1/2, SE1/4, Section 34-11-9 Alice L. Bartlett, Trustee 4125 Hartford Dr. Grand Island NE 68803J $13,806.40231.0400295024 1546 E. Airport Road Lot 1, Mader Subdivision Melvin Brahatcek 4056 David Ave. Grand Island NE 68803K.1 $7,172.16120.0400187485 1640 E. Airport Road Part of E1/2, SW1/4, SE1/4 Sec. 34-12-9 Enos C. & Sandra F. Peterson 1640 E. Airport Road Grand Island NE 68803K.2 $6,694.01112.0400187477 1610 E Airport Road Lot 1, Peterson Sub. Enos C. & Sandra F. Peterson 1640 E. Airport Road Grand Island NE 68803K.3 $1,195.3620.0400475049 1610 E Airport Road Lot 2, Peterson Sub. Enos C. & Sandra F. Peterson 1640 E. Airport Road Grand Island NE 68803L $10,423.54174.4400187914 1740 E Airport Road Lot 1, Wichern Sub. Bethine Bonczynski 1740 E. Airport Road Grand Island NE 68801M $64,495.661,079.1400187523 -- Part SE1/4, Section 34-12-9 Central Nebraska Regional Airport 3743 Sky Park Road Grand Island NE 68802$1,045,868.0517,498.8Total Project Cost = $ 1,045,868.05Cost per FF = $ 59.7679869Grand IslandCouncil Session - 10/13/2015Page 9 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-BE-10 BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, sitting as a Board of Equalization for Water Main District 466T, after due notice having been given thereof, that we find and adjudge: That the benefits accruing to the real estate in such district to be the total sum of $1,045,868.05; and Such benefits are equal and uniform; and According to the area of the respective lots, tracts, and real estate within such Water Main District No. 466T such benefits are the sums set opposite the several descriptions as follows: Name Parcel Number Property Address Description Connection Fee ($) Bradley R. Petersen 400187310 304 E. Airport Road Part of the E ½, SW ¼, Section 33-12-9 78,828.00 Oscar Jr. & Rose Ann Bredthauer 400187388 3230 N. St. Paul Road Part of the S ½, SE ¼, Section 33-12-9 155,133.79 Oscar Jr. & Rose Ann Bredthauer 400205394 3170 N. St. Paul Road Part of the N 11AC of E ½, NE ¼, Section 4-11-9 76,467.16 Oscar Jr. & Rose Ann Bredthauer 400356031 527 E. Airport Road Part W ½ of the NE ¼, Section 4-11-9 39,446.87 Arthur E. & Dixie L. Ostermeier, Trustees 400187450 1201 E. Airport Road Part of the W ½, SE ¼, Section 34-11-9 76,921.40 Alice R. Erion 400187442 1308 E. Airport Road Part of the E ½, SW ¼, Section 34-12-9 75,905.34 Darling National, LLC, an Iowa Limited Liability Company 400215810 1325 E. Airport Road Part of Lot 1, Wilson’s Subdivision 19,490.34 Copart of Connecticut, Inc., a Connecticut Corporation 400475278 1203 E. Airport Road Lot 1, Garden Place 89,143.95 Douglas R. & Tamara K. Petersen 400205432 611 E. Airport Road Part of the NW ¼, NW ¼, NE ¼, Section 4-11-9 39,446.87 Douglas R. & Tamara K. Petersen 400205564 379 E. Airport Road Part E ½, NW ¼ , Section 4-11-9 60,915.53 Petersen Farms, Inc.400215799 1743 E. Airport Road Part of Lot 1, Wilson’s Subdivision 190,863.09 Petersen Farms, Inc.400187493 1622 E. Airport Road Part of the W ½, W ½, SE ¼, Section 34-12-9 9,849.76 Petersen Farms, Inc.400187922 1648 E. Airport Road Lot 2, Wichern Subdivision 21,779.45 Alice L. Bartlett, Trustee 400187469 1510 – 1512 E. Airport Road Part of the W ½, W ½, SE ¼, Section 34-11-9 7,889.37 Melvin Brahatcek 400295024 1546 E. Airport Road Lot 1, Mader Subdivision 13,806.40 Enos C. & Sandra F. Peterson 400187485 1640 E. Airport Road Part of the E ½, SW ¼, SE ¼, Section 34-12-9 7,172.16 Enos C. & Sandra F. Peterson 400187477 1610 E. Airport Road Lot 1, Peterson Subdivision 6,694.01 Enos C. & Sandra F. Peterson 400475049 1610 E. Airport Road Lot 2, Peterson Subdivision 1,195.36 Bethine Bonczynski 400187914 1740 E. Airport Road Lot 1, Wichern Subdivision 10,423.54 Central NE Regional Airport 400187523 ---Part SE ¼, Section 34-12-9 64,495.66 TOTAL All Connection Fees $1,045,868.05 Grand Island Council Session - 10/13/2015 Page 10 / 175 - 2 - BE IT FURTHER RESOLVED that the special benefits as determined by this resolution shall not be levied as special assessments, but shall be certified by this resolution to the Register of Deeds, Hall County, Nebraska, pursuant to Section 16-6,103,R.R.S. 1943. A connection fee in the amount of the above benefit accruing to each property in the district shall be paid to the City of Grand Island at the time such property becomes connected to the water main. No property benefited as determined by this resolution shall be connected to the water main until the connection fee is paid. The connection fees collected shall be paid into the fund from which construction costs were made to replenish such fund for the construction costs. - - - Adopted by the City Council of the City of Grand Island, Nebraska October 13, 2015. _______________________________ Jeremy L. Jensen, Mayor Attest: _____________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 11 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item E-1 Public Hearing on Acquisition of Utility Easement - 2710 N. North Road - Northwest High School Council action will take place under Consent Agenda item G-4. Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 10/13/2015 Page 12 / 175 Council Agenda Memo From:Tim Luchsinger, Utilities Director Meeting:October 13, 2015 Subject:Acquisition of Utility Easement – 2710 N. North Road – Northwest High School Presenter(s):Timothy Luchsinger, Utilities Director Background Nebraska State Law requires that acquisition of property must be approved by City Council. The Utilities Department needs to acquire an easement relative to the property of the Class 6 School District of Hall and Merrick Counties, Nebraska, A.K.A. Northwest High School, located in the City of Grand Island, Hall County, Nebraska (2710 N. North Road), in order to have access to install, upgrade, maintain, and repair power appurtenances, including lines and transformers. Discussion Northwest High School will be building an addition to the south side of the school. This project will require relocation of existing underground electrical conduits and primary power cables. In order for the Utilities Department to re-route the power supply to accommodate their project, a new easement needs to be acquired for operation, maintenance, and access of the electric infrastructure. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Make a motion to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4. Take no action on the issue Recommendation City Administration recommends that the Council approve the resolution for the acquisition of the easement for one dollar ($1.00). Grand Island Council Session - 10/13/2015 Page 13 / 175 Sample Motion Move to approve acquisition of the Utility Easement. Grand Island Council Session - 10/13/2015 Page 14 / 175 Grand Island Council Session - 10/13/2015 Page 15 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item E-2 Public Hearing on Acquisition of Property at 1203 West 4th Street (Donald Enck, Jr. & Ronna Taylor) Council action will take place under Consent Agenda item G-6. Staff Contact: Tim Luchsinger, Stacy Nonhof Grand Island Council Session - 10/13/2015 Page 16 / 175 Council Agenda Memo From:Tim Luchsinger, Utilities Director Stacy Nonhof, Assistant City Attorney Meeting:October 13, 2015 Subject:Acquisition of Property - 1203 W. 4th Street Presenter(s):Tim Luchsinger, Utilities Director Background The Electric Department, Line Division offices, shops and storage facilities are located in the 1100 block of West North Front Street. The current buildings were first built over 50 years ago. As the City has grown, so has the Utility's Line Division. Rather than abandon the current site and build new to meet this growth, the Utilities Department has acquired suitable adjacent properties as they have become available and integrated those facilities into the previously constructed facilities. The old YMCA property, which was located on the same block, was acquired in the 70's. A private residence in that same block was acquired in the 80's, and a commercial business in the block just east was acquired in the 90's. In 2002, a small lot was purchased directly west of the old YMCA property. These acquisitions have been fully integrated into the Line Division's operations, and have provided well for the needed growth. Recently the Utilities Department became aware of another property in the area which would be suitable to meet future growth needs. That property is on the market. Discussion A private residence at 1203 West 4th Street, immediately west of the Line Division block is being sold. The Utilities and Legal staff have met with the owner's representative of the property and negotiated a proposed purchase price of $21,000. This price is a result of a recent appraisal that was made of the property. The property consists of a run-down house that has been vacant for a period of time. The intent of this property would be to raze the house and convert the empty lot to parking. Parking within the Line Division block is limited and typically results in employees parking along the street. The acquisition of this property would allow Grand Island Council Session - 10/13/2015 Page 17 / 175 adequate off-street employee parking as well as improve the aesthetics of the neighborhood. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1. Move to approve 2. Refer the issue to a Committee 3. Postpone the issue to a future date 4. Take no action on the issue Recommendation City Administration recommends that the Council approve the purchase of the property at 1203 West 4th Street. Sample Motion Move to approve the purchase of the property at 1203 West 4th Street. Grand Island Council Session - 10/13/2015 Page 18 / 175 PURCHASE AGREEMENT This Purchase Agreement (“Agreement”) is entered into this 13th day of October, 2015, by and between Donald Enck and Ronna Taylor, joint tenants, (“Sellers”) and the City Of Grand Island, (“Buyer”). Recitals WHERAS, Sellers are the owners of the real estate and improvements located at 1203 W 4th Street, Grand Island, Nebraska, and legally described as: Fractional Lot One (1) in Fractional Block Three (3) of Arnold & Abbott’s Addition to the City of Grand Island, Hall County, Nebraska, and its complement: Fractional Lot One (1) in Fractional Block Fourteen (14) of Bonnie Brae Addition to the City of Grand Island, Hall County, Nebraska; and WHEREAS, Sellers desire to sell, and Buyer desires to purchase the Property, subject to the terms and conditions set forth herein. NOW THEREFORE, in consideration of the foregoing, it is agreed by Sellers and Buyer as follows: 1.Transfer of Property 1.1 Sale and Purchase. Sellers agree to sell the Property to Buyer, and Buyer agrees to purchase the Property from Sellers on the terms and conditions set forth herein. 1.2 Purchase Price. The purchase price for the Property shall be TWENTY-ONE THOUSAND DOLLARS AND NO/100 ($21,000.00) payable in full at Closing. 1.3 Closing. The Closing shall take place on or before November 1, 2015, at the office of Grand Island Abstract, Escrow & Title Company in Grand Island, Nebraska. 1.4 Title Insurance. Within ten (10) days of execution of this Agreement, Buyer shall obtain an owner’s policy of title insurance prepared by Grand Island Abstract, Escrow & Title Company (“Title Company”), which insures marketable title to the Property; subject only to such exceptions as may be acceptable to Buyer (“Permitted Exceptions”). Buyer shall notify Sellers of any objections to the title commitment and Sellers shall have a reasonable period to cure such objections. If Sellers are unable or unwilling to cure any objections, either party may terminate this Agreement without penalty. Grand Island Council Session - 10/13/2015 Page 19 / 175 1.5 Title and Possession. Sellers agree to convey the Property to Buyer at Closing by General Warranty Deed subject to only the Permitted Exceptions, and free and clear of any lease agreement with any third party. 1.6 Taxes, Assessments, and Other Costs. All property taxes and assessments related to the Property for 2014 and all prior years (if any) shall be paid by Seller at or prior to Closing. All property taxes and assessments for the Property for 2015 shall be prorated to the date of Closing. Any special assessment levied or assessed against the Property prior to Closing shall be paid by Sellers. Sellers shall pay the transfer tax (if any) which is payable upon the recording of the warranty deed from Sellers to Buyer. Buyer shall pay the fee for recording the deed. The Title Company shall close the transaction. The Buyer shall pay the closing costs and fees, including the cost of the owner’s title insurance policy. 1.7 Personal Property. Sellers shall remove all personal property from the Property prior to closing. 2.Representations and Warranties 2.1 Representations and Warranties of Sellers. Sellers represent and warrant to Buyer as follows: 2.1.1 Organization; Power, Good Standing. Sellers are individual citizens and joint tenants in the property and have all requisite power and authority to enter into this Agreement and perform the obligations hereunder. 2.1.2 Authority Relative to Agreement. This Agreement has been duly approved by the Sellers and executed same, and constitutes a legal, valid, and binding obligation of Sellers, enforceable against Sellers in accordance with its terms. 2.1.3 “AS-IS”. Sellers are selling the Property “AS-IS,” making no representations or warranties concerning the Property of any kind or nature except Sellers warrant the following: A. Their ownership of the Property and the conveyance of marketable title to Buyer at closing. B. Sellers have no knowledge and have received no notice of any violation of applicable occupational safety and health standards established by law or regulation. C. The Property and its current use are in compliance with all applicable zoning ordinances. Grand Island Council Session - 10/13/2015 Page 20 / 175 2.1.4 Inspections. Buyer may obtain such inspections of the Property as Buyer may desire at Buyer’s expense. If Buyer is dissatisfied with the condition of the Property or compliance with any applicable zoning or environmental regulations established by law or regulations and if Sellers decline to make any requested repairs to the Property or comply with any claimed violations, Buyer may terminate the Agreement without penalty. Sellers have no obligation to perform any repairs to the Property. 2.2 Representations and Warranties of Buyer. Buyer represents and warrants to Sellers as follows: 2.2.1 Organization; Power, Good Standing. Buyer is a municipal corporation organized and existing under the laws of the State of Nebraska and has all requisite power and authority to enter into this Agreement and perform the obligations hereunder. 2.2.2 Authority Relative to Agreement. This Agreement has been duly approved by the City Council of Buyer and executed by its Mayor, and constitutes a legal, valid, and binding obligation of Buyer, enforceable against Buyer in accordance with its terms. 3.Miscellaneous 3.1 Binding Effect; Benefits. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Notwithstanding anything contained in this Agreement to the contrary, nothing in this Agreement, express or implied, is intended to confer on any person other than the parties hereto or their respective successors and assigns any right, remedy, obligation, or liability under or by reason of this Agreement. 3.2 Risk of Loss. All risk of loss or damage to the Property by fire or other casualty until Closing is assumed by the Sellers. In the event of a material loss or damage to the Property the Buyer shall have the right to cancel this Agreement. Sellers have no obligation to repair the Property. 3.3 Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original but all of which shall constitute one and the same instrument. 3.4 Further Assurances. Each of the parties hereto, without further consideration, agrees to execute and deliver such other documents and take such other action, whether prior to or subsequent to Closing, as may be necessary to more effectively consummate the intent and purpose of this Agreement. Grand Island Council Session - 10/13/2015 Page 21 / 175 3.5 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Nebraska. 3.6 Severability. If for any reason whatsoever any one or more of the provisions of this Agreement shall be held or deemed to be inoperative, unenforceable, or invalid, such circumstances shall not have the effect of rendering any of the other provisions of this Agreement inoperative, unenforceable, or invalid. 3.7 Survival and Nonmerger. All terms, conditions, representations, and warranties contained in this Agreement shall survive Closing, including, but not limited to, the execution and delivery of any deed related to the Property to be conveyed hereunder, and shall not merge into any deed. 3.8 Default. In the event of default by either party, the non-defaulting party may enforce all rights and remedies as by law provided. 3.9 Assignment. This agreement is not assignable by Buyer without the prior written consent of the Sellers. IN WITNESS WHEREOF THE PARTIES HAVE SET THEIR RESPECTIVE HANDS THE DAY AND YEAR ABOVE WRITTEN. SELLERS:BUYER: DONALD ENCK AND RONNA CITY OF GRAND ISLAND, NEBRASKA TAYLOR, JOINT TENANTS BY_______________________________BY_______________________________ DONALD ENCK JEREMY JENSEN, MAYOR BY_______________________________ RONNA TAYLOR ATTEST: BY_______________________________ CITY CLERK Grand Island Council Session - 10/13/2015 Page 22 / 175 STATE OF NEBRASKA SS: COUNTY OF HALL The foregoing was acknowledged before me on the ______ day of October, 2015, by Donald Enck. ______________________________ Notary Public STATE OF NEBRASKA SS: COUNTY OF HALL The foregoing was acknowledged before me on the ______ day of October, 2015, by Ronna Taylor. ______________________________ Notary Public STATE OF NEBRASKA SS: COUNTY OF HALL The foregoing was acknowledged before me on the ______ day of October, 2015, by Jeremy Jensen, Mayor of the City of Grand Island, Nebraska, a municipal corporation. ______________________________ Notary Public Grand Island Council Session - 10/13/2015 Page 23 / 175 THIS CONTRACT IS IN DUE FORM ACCORDING TO LAW AND HEREBY APPROVED: Date: October ______, 2015 ___________________________________ Stacy R. Nonhof Assistant Grand Island City Attorney Grand Island Council Session - 10/13/2015 Page 24 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item E-3 Public Hearing on Amendment to the Redevelopment Plan for CRA Area 7 located at the Southwest Corner of the Intersection of Schimmer Road and Blaine Street (Hatchery Holdings, LLC) Council action will take place under Resolutions item I-1. Staff Contact: Chad Nabity Grand Island Council Session - 10/13/2015 Page 25 / 175 Council Agenda Memo From:Chad Nabity, AICP Meeting:October 13, 2015 Subject: Amendment to Redevelopment Plan for CRA Area 7 Presenter(s):Chad Nabity, AICP CRA Director Background In 2007, the Grand Island City Council declared property referred to as CRA Area 7 as blighted and substandard and approved a generalized redevelopment plan for the property. The generalized redevelopment plan authorized the use of Tax Increment Financing (TIF) for the acquisition of property, redevelopment of property, site preparation including demolition, landscaping and parking. TIF can also be used for improvements to and expansion of existing infrastructure including but not limited to: streets, water, sewer, drainage. Hatchery Holdings LLC as the proposed developer has submitted a proposed amendment to the redevelopment plan that would provide for site acquisition, utility extensions, grading and site preparation, planning activities and the subsequent construction of a 60,000 square foot commercial chicken hatchery on 20 acres located at the southwest corner of the intersection of Blaine Street and Schimmer Drive in the City of Grand Island, Nebraska. The CRA reviewed the proposed development plan on September 9, 2015 and forwarded it to the Hall County Regional Planning Commission for recommendation at their meeting on October 7, 2015. The CRA also sent notification to the City Clerk of their intent to enter into a redevelopment contract for this project pending Council approval of the plan amendment. The Hall County Regional Planning Commission held a public hearing on the plan amendment at a meeting on October 7, 2015. The Planning Commission approved Resolution 2016-01 in support of the proposed amendment, declaring the proposed amendment to be consistent with the Comprehensive Development Plan for the City of Grand Island. Grand Island Council Session - 10/13/2015 Page 26 / 175 Discussion Tonight, Council will hold a public hearing to take testimony on the proposed plan amendment (including the cost benefit analysis that was performed regarding this proposed project) and to enter into the record a copy of the plan amendment, the draft TIF contract under consideration by the CRA. Council is being asked to approve a resolution approving the cost benefit analysis as presented in the redevelopment plan along with the amended redevelopment plan for CRA Area 7 and authorizes the CRA to execute a contract for TIF based on the plan amendment. The redevelopment plan amendment permits for site acquisition, utility extensions, grading and site preparation, planning activities and the subsequent construction of a 60,000 square foot commercial chicken hatchery on 20 acres located at the southwest corner of the intersection of Blaine Street and Schimmer Drive in the City of Grand Island, Nebraska. The cost benefit analysis included in the plan finds that this project meets the statutory requirements for as eligible TIF project and that it will not negatively impact existing services within the community or shift additional costs onto the current residents of Grand Island and the impacted school districts. There are more than $2,675,000 of identified expenses eligible for Tax increment financing with the proposed redevelopment plan amendment it is anticipated that this project if valued at $11,400,000 would generate $3,728,000 or if valued at $8,400,000 would generate $2,680,000 worth of increment over 15 years. The bond for this project will be issued for a period of 15 years and will end upon final payment of the bond principal and any associated interest. If this project is completed as proposed it will create enough jobs to meet the job creation goals of the Community Development Block Grant (CDBG) that was awarded to the City to pave Blaine Street and install perimeter infrastructure around the Platte Valley East Industrial Park site. That grant was for $935,000 and is subject to repayment by the city if the job creation goals are not met. The job creation goals need to be met by March of 2017. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Grand Island Council Session - 10/13/2015 Page 27 / 175 Recommendation The CRA and Hall County Regional Planning Commission recommend that the Council approve the Resolution necessary for the adoption and implementation of this plan. Sample Motion Move to approve the resolution as submitted. Grand Island Council Session - 10/13/2015 Page 28 / 175 Redevelopment Plan Amendment Grand Island CRA Area 7 September 2015 The Community Redevelopment Authority (CRA) of the City of Grand Island intends to amend the Redevelopment Plan for Area 7 within the city, pursuant to the Nebraska Community Development Law (the “Act”) and provide for the financing of an industrial project in Area 7. Executive Summary: Project Description THE ACQUISITION OF PROPERTY AT THE SOUTHWEST CORNER OF SCHIMMER ROAD AND BLAINE STREET (APPROXIMATELY 20 ACRES) AND THE SUBSEQUENT SITE WORK, GRADING, DRAINAGE IMPROVEMENTS, UTILITY IMPROVEMENTS, ENGINEERING, LANDSCAPING AND PARKING IMPROVEMENTS NECESSARY FOR CONSTRUCTING A COMMERCIAL BUILDING TO BE USED AS A COMMERCIAL CHICKEN HATCHERY AT THIS LOCATION. The use of Tax Increment Financing (TIF) to aid in the acquisition of property, necessary site work including drainage, and installation of public utilities and utility connections necessary to develop this site. The use of TIF for this project was proposed by the Grand Island Area Economic Development Corporation (GIAEDC) in their proposal to bring this project to Grand Island. This project developer is willing to locate this business in Grand Island provided TIF is available to support the project. The acquisition, site work and construction of all improvements will be paid for by the developer based on their agreements with GIAEDC. The developer is responsible for and has provided evidence that they can secure adequate debt financing to cover the costs associated with the acquisition, site work and other necessary expenditures. The Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over the 15 year period beginning January 1, 2017 towards the allowable costs and associated financing for the acquisition and site work. TAX INCREMENT FINANCING TO PAY FOR THE ACQUISTION OF THE PROPERTY AND RELATED SITE WORK WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) This property is located west of Blaine Street south of Schimmer Drive in southern Grand Island, the attached map identifies the subject property and the surrounding land uses:  Legal Description Exact description to be provided later but 20 acres more or less consisting generally of either the N ½ or E ½ of NE ¼ of the NE ¼ of Grand Island Council Session - 10/13/2015 Page 29 / 175 Section 5, Township 10 North, Range 9 west of the 6th P.M. in Grand Island, Hall County, Nebraska. Grand Island Council Session - 10/13/2015 Page 30 / 175 Based on the proposal the tax increment will be captured for the tax years the payments for which become delinquent in years 2018 through 2031 inclusive. The real property ad valorem taxes on the current valuation will continue to be paid to the normal taxing entities. The increase will come from the construction of new commercial space on this property. Statutory Pledge of Taxes. Pursuant to Section 18-2147 of the Act, any ad valorem tax levied upon real property in the Redevelopment Project Area shall be divided, for the period not to exceed 15 years after the effective date of the provision, which effective date shall be set with the signed contract estimated now to be January 1, 2017. Said taxes shall be divided as follows: a. That portion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the redevelopment project valuation shall be paid into the funds, of each such public body in the same proportion as all other taxes collected by or for the bodies; and b. That portion of the ad valorem tax on real property in the redevelopment project in excess of such amount, if any, shall be allocated to and, when collected, paid into a special fund of the Authority to pay the principal of; the interest on, and any premiums due in connection with the bonds, loans, notes, or advances on money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, a redevelopment project. When such bonds, loans, notes, advances of money, or indebtedness including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such redevelopment project shall be paid into the funds of the respective public bodies. Pursuant to Section 18-2150 of the Act, the ad valorem tax so divided is hereby pledged to the repayment of loans or advances of money, or the incurring of any indebtedness, whether funded, refunded, assumed, or otherwise, by the CRA to finance or refinance, in whole or in part, the redevelopment project, including the payment of the principal of, premium, if any, and interest on such bonds, loans, notes, advances, or indebtedness. Grand Island Council Session - 10/13/2015 Page 31 / 175 Redevelopment Plan Amendment Complies with the Act: The Community Development Law requires that a Redevelopment Plan and Project consider and comply with a number of requirements. This Plan Amendment meets the statutory qualifications as set forth below. 1. The Redevelopment Project Area has been declared blighted and substandard by action of the Grand Island City Council on August 28, 2007.[§18-2109] Such declaration was made after a public hearing with full compliance with the public notice requirements of §18-2115 of the Act. 2. Conformation to the General Plan for the Municipality as a whole. [§18-2103 (13) (a) and §18-2110] Grand Island adopted a Comprehensive Plan on July 13, 2004. This redevelopment plan amendment and project are consistent with the Comprehensive Plan, in that no changes in the Comprehensive Plan elements are intended. This plan merely provides funding for the developer to acquire the necessary property and provide the necessary site work for the construction of a permitted use on this property. 3. The Redevelopment Plan must be sufficiently complete to address the following items: [§18-2103(13) (b)] a. Land Acquisition: This Redevelopment Plan for Area 7 provides for real property acquisition. There is no proposed acquisition by the authority. The applicant will be acquiring the property from the current owner. b. Demolition and Removal of Structures: The project to be implemented with this plan will not require demolition of any existing structures. c. Future Land Use Plan See the attached map from the 2004 Grand Island Comprehensive Plan. The site is planned for manufacturing development [§18-2103(b) and §18-2111]. The attached map also is an accurate site plan of the area after redevelopment. [§18-2111(5)] Grand Island Council Session - 10/13/2015 Page 32 / 175 City of Grand Island Future Land Use Map Grand Island Council Session - 10/13/2015 Page 33 / 175 d. Changes to zoning, street layouts and grades or building codes or ordinances or other Planning changes. The area is zoned M2 Heavy Manufacturing District. No zoning changes are anticipated with this project. No changes are anticipated in street layouts or grades. No changes are anticipated in building codes or ordinances. Nor are any other planning changes contemplated. [§18-2103(b) and §18-2111] e. Site Coverage and Intensity of Use The developer is proposing to acquire property and build a 60,000 square foot building to be used as a chicken hatchery to supply chickens for egg production in the surrounding agricultural zoning districts in Hall County and the surrounding counties. [§18-2103(b) and §18-2111] f. Additional Public Facilities or Utilities Sewer and water are available to support this development. Connections for water and sewer will have to be extended to serve the proposed future development. Adequate electric utility infrastructure is available to support this development. No other utilities would be impacted by the development. No other utilities would be impacted by the development. [§18-2103(b) and §18-2111] Grand Island Council Session - 10/13/2015 Page 34 / 175 4. The Act requires a Redevelopment Plan provide for relocation of individuals and families displaced as a result of plan implementation. This amendment does not provide for acquisition of any residences and therefore, no relocation is contemplated. [§18-2103.02] 5. No member of the Authority, nor any employee thereof holds any interest in any property in this Redevelopment Project Area. [§18-2106] 6. Section 18-2114 of the Act requires that the Authority consider: a. Method and cost of acquisition and preparation for redevelopment and estimated proceeds from disposal to redevelopers. The developer is proposing to purchase this property for redevelopment for $1,600,000 provided that TIF is available for the project as defined. The cost of property acquisition is being included as a TIF eligible expense. Costs for site preparation, grading and drainage structures, utility extensions and connection fees, of $444,313 and planning and legal costs of $630,000 are included as TIF eligible expenses. It is estimated based on the proposed increased valuation of the project of $11,600,000 will result in $3,728,000 of increment generated over a 15 year period. No property will be transferred to redevelopers by the Authority. The developer and GIAEDC will provide and secure all necessary financing. b. Statement of proposed method of financing the redevelopment project. The developer and GIAEDC will provide all necessary financing for the project. The Authority will assist the project by granting the sum of $2,674,313 for the project from the proceeds of the TIF Indebtedness issued by the Authority. This indebtedness will be repaid from the Tax Increment Revenues generated from the project. It is expected that TIF revenues shall be made available to repay the original debt after January 1, 2018 through December 2032 depending on the final building schedule and contract date. c. Statement of feasible method of relocating displaced families. No families will be displaced as a result of this plan. 7. Section 18-2113 of the Act requires: Prior to recommending a redevelopment plan to the governing body for approval, an authority shall consider whether the proposed land uses and building requirements in the redevelopment project area are designed with the general purpose of accomplishing, in conformance with the general plan, a coordinated, adjusted, and harmonious development of the city and its environs which will, in accordance with present and future needs, Grand Island Council Session - 10/13/2015 Page 35 / 175 promote health, safety, morals, order, convenience, prosperity, and the general welfare, as well as efficiency and economy in the process of development, including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of the healthful and convenient distribution of population, the provision of adequate transportation, water, sewerage, and other public utilities, schools, parks, recreational and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of insanitary or unsafe dwelling accommodations or conditions of blight. The Authority has considered these elements in proposing this Plan Amendment. This development, in and of itself will promote consistency with the Comprehensive Plan, in that it will allow for the utilization of the property for manufacturing purposes consistent with the intent of the Comprehensive Plan. This property was purchased by the GIAEDC in 2006 for the purpose of encouraging industrial development. The City and the GIAEDC have invested substantial funds in extending infrastructure to serve this property for manufacturing purposes. New manufacturing development will raise property values and encourage further development of this property. 8. Time Frame for Development Development of this project is anticipated to be completed between October of 2015 and September of 2016. Excess valuation should be available for this project for 15 years beginning with the 2017 tax year. 9. Justification of Project The property is located at the northeast corner of the property referred to variously as Platte Valley Industrial Park East (PVIP East) and more recently as Wildwood Business Park south of Schimmer Drive and west of Blaine Street. A community development block grant of $935,000 from the Nebraska Department of Economic Development was used to pay for a portion of the paving of Blaine Street and the installation of sanitary sewer and water lines adjacent to the site. The use of those funds obligates the City and the GIAEDC to recruit businesses that will create at least 37 jobs 51% of which are to be “held by” or “made available to” people that are currently considered low to moderate income. This project as proposed would fulfill the job creation requirements of that grant. 10. Cost Benefit Analysis Section 18-2113 of the Act, further requires the Authority conduct a cost benefit analysis of the plan amendment in the event that Tax Increment Financing will be used. This analysis must address specific statutory issues. As authorized in the Nebraska Community Development Law, §18-2147, Neb. Rev. Stat. (2012), the City of Grand Island has analyzed the costs and benefits of the proposed Redevelopment Project, including: Grand Island Council Session - 10/13/2015 Page 36 / 175 Project Sources and Uses. Approximately $2,674,300 in public funds from tax increment financing provided by the Grand Island Community Redevelopment Authority will be required to complete the project. The total private investment on this project is the total of the costs not eligible for is TIF $17,003,687. This $2,674,300 investment by the Authority and the people of Grand Island will leverage $17,003,687 in private sector financing and investment; a private investment of $6.35 for every TIF dollar investment. Use of Funds. Phase 1 Description Eligible for TIF Funds Private Funds Total Site Acquisition $1,600,000 $1,600,000 Utilities/On Site Improvements $444,313 359,687 $804,000 Legal Private $250,000 $250,000 Legal CRA Cost $30,000 $30,000 Fees1 $1,600 $1,600 Architecture $350,000 $350,000 Building Construction Costs $10,034,000 $10,034,000 Soft Costs $610,000 $610,000 Personal Property $6,000,000 $6,000,000 TOTALS $2,675,913 $17,003,687 $19,679,600 Tax Revenue. The property to be redeveloped has a January 1, 2015, valuation of approximately $220,000 according to the Hall County Assessor’s Office. Based on the 2014 levy this would result in a real property tax of approximately $4,804. It is anticipated that the assessed value will increase by almost $11,400,000 upon full completion, as a result of the site redevelopment. This development will result in an estimated tax increase of over $248,525 annually resulting in $3,728,000 of increment over the 15 year period. The tax increment gained from this Redevelopment Project Area would not be available for use as city general tax revenues, for a period of 15 years, or such shorter time as may be required to amortize the TIF bond, but would be used for eligible private redevelopment costs to enable this project to be realized. Estimated 2015 assessed value: $ 220,000 Estimated value after completion $ 11,600,000 Increment value $ 11,380,000 Annual TIF generated (estimated) $ 248,525 TIF bond issue $ 2,674,313 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $220,000. The proposed redevelopment and commercial construction at this location will result in an additional $11,380,000 of taxable valuation based on valuations of similar properties. No tax shifts are anticipated from the project. The project creates additional valuation Grand Island Council Session - 10/13/2015 Page 37 / 175 that will support taxing entities long after the project is paid off. The project will not add any tax burdens to taxing entities. Therefore no tax shifts will occur. (b) Public infrastructure and community public service needs impacts and local tax impacts arising from the approval of the redevelopment project; No additional public service needs have been identified. Existing water and waste water facilities will not be impacted by this development. The electric utility has sufficient capacity to support the development. It is not anticipated that this will impact schools. Fire and police protection are available and should not be impacted by this development. (c) Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the redevelopment project; This project will not negatively impact employers or employees in the area directly. It is anticipated that this project will create 50 additional jobs more than half of which will be available to people currently considered low to moderate income meeting the job creation component of the Community Development Block Grant that was used to extend utilities to the property and pave Blaine Street. The increase in available jobs may result in further tightening of the job market. (d) Impacts on other employers and employees within the city or village and the immediate area that are located outside of the boundaries of the area of the redevelopment project; and No major impacts are anticipated outside of the city or immediate area to total employment from this project. The satellite farming operations that will be raising chickens for egg production will stabilize and diversify the ag sector. There may be an increase in employment in the construction sector during construction of this project and the outlying facilities that will support this plant. (e) Any other impacts determined by the authority to be relevant to the consideration of costs and benefits arising from the redevelopment project. This project will serve as a catalyst project developing a 20 acre parcel within the Platte Valley Industrial Park East. This project will meet the obligations the City and the GIAEDC have for job creation as part of the CDBG grant that was used to install utilities across the property and pave Blaine Street. This project will diversify the ag employment sector into new production that is not currently found in central Nebraska, specifically egg and chicken production. Time Frame for Development Development of this project is anticipated to be completed during between October 2015 and September of 2016. The date of TIF will be established with the approved contract Grand Island Council Session - 10/13/2015 Page 38 / 175 but it is anticipated that he base tax year should be calculated on the value of the property as of January 1, 2016. Excess valuation should be available for this project for 15 years beginning with the 2017 tax year. Excess valuation will be used to pay the TIF Indebtedness issued by the CRA per the contract between the CRA and the developer for a period not to exceed 15 years or an amount not to exceed $2,674,313 the projected amount of the eligible expenses for this project. Based on the purchase price of the property and estimates of the expenses of renovation activities and associated engineering fees, the developer will spend more than $2,674,313 on TIF eligible activities. See Attached Site Plan Grand Island Council Session - 10/13/2015 Page 39 / 175 BACKGROUND INFORMATION RELATIVE TO TAX INCREMENT FINANCING REQUEST Project Redeveloper Information Business Name: Hatchery Holdings, LLC Operational Site Address: SW Corner of Blaine and Schimmer Drive, Grand Island, NE 68801 Contact: Peter Mumm Managing Director Hendrix-ISA, LLC 5953 Frase Court Fall Creek, WI, 54742 Cell: 937-935-6713 Business/Admin Office Address: 5800 Merle Hay Road, Suite 14 PO Box 394 Johnston, IA 50131 Contact: Todd Carlson – Phone: (515)253-0943 Ext 136, Fax No: (515)253-0942 Brief Description of Applicant’s Business: Development, Construction and Operation of a Hatchery facility that will produce approx. 24,000,000 day old chicks per year. The chicks will be sold to egg producing layer operations regionally, including sales in the states of Nebraska, Iowa, Missouri, South Dakota, Colorado and Minnesota. There will be 6-8 related Grand Island Council Session - 10/13/2015 Page 40 / 175 breeder operations in the Grand Island area to support the hatchery operations. The operation will include a vaccination department/area to vaccinate the chicks with the appropriate governmental/industry approved vaccinations. There will be approximately 50 employees at the hatchery location. Present Ownership Proposed Project Site: Owned by Grand Island Economic Development Corporation Approximately 20 acres in the NE ¼ of Section 5 Township 10 N Range 9 W of the 6th PM in Hall County Nebraska. Proposed Project:  20 acre site  60,000 sq/ft building including 5,400 sq/ft of office/support space  Slab on grade construction with steel frame, bar joist for roof support, exterior interlocking insulated foam panels with Kynar finish  Approx 8,000 S.Y. of roadway/parking access, 6,000 S.Y. of concrete at dock areas & 240’x420’ of asphalt parking area If Property is to be Subdivided, Show Division Planned:  Sub-division/Platting in process. Will forward upon receipt. VI. Estimated Project Costs: Acquisition Costs: A. Land $ 1,600,000 B. Building $ 0 Construction Costs: A. Renovation or Building Costs: $ 10,034,177 B. On-Site Improvements: 1. Utilities to Building $ 136,313 Grand Island Council Session - 10/13/2015 Page 41 / 175 2. Grading $ 174,000 3. Site Preparation $ 84,000 4. On Site Drainage Facilities $ 25,000 5. Parking Lots $ 314,687 6. Signage $ 5,000 7. Parking Lot Lighting $ 20,000 8. Landscaping $ 20,000 9. Tap Fees $ 25,000 C. Hatchery Equipment $ 6,000,000 Soft Costs: A. Architectural & Engineering Fees: $ 350,000 B. Financing Fees: $ 540,000 C. Legal/Developer/Audit Fees: $ 280,000 D. Contingency Reserves: $ 360,000 E. Other (Please Specify) $ 0 TOTAL $19,998,177 Total Estimated Market Value at Completion: $ 21,000,000 Source of Financing: A. Developer Equity: $ 4,875,647 B. Commercial Bank Loan: $ 12,243,217 Tax Credits: 1. N.I.F.A. $ 0 2. Historic Tax Credits $ 0 D. Industrial Revenue Bonds: $ 0 E. Tax Increment Assistance – Site Funding: $ 2,674,313 F. Nebraska Sites Building Development Fund $ 125,000 Grand Island Council Session - 10/13/2015 Page 42 / 175 Name, Address, Phone & Fax Numbers of Architect, Engineer and General Contractor: Architect: TBD Engineer: Civil – TBD Mechanical - TBD General Contractor: Henning Companies, LLC 5800 Merle Hay Road, Suite 14 Johnston, IA 50131 Phone: (515) 253-0943 Fax: (515) 253-0942 Estimated Real Estate Taxes on Project Site Upon Completion of Project: Dave – please insert calculation here based on details above. Current Valuation $220,000 Current Taxes $4805 Expected Valuation $11,600,000 Expected Taxes $253,330 Annual Taxes $253,330 Less Base $4805 Expected Increment $248,525 Project Construction Schedule: Construction Start Date: October 15, 2015 Construction Completion Date: September 15, 2016 XII. Please Attach Construction Pro Forma In process, will forward upon completion Grand Island Council Session - 10/13/2015 Page 43 / 175 XIII. Please Attach Annual Income & Expense Pro Forma New entity, currently under development by Hatchery operating entity TAX INCREMENT FINANCING REQUEST INFORMATION Describe Amount and Purpose for Which Tax Increment Financing is Requested: Requesting a 15 year deferral of taxes on the property – based on the current assessed value of the property vs the improved value of the property. Statement Identifying Financial Gap and Necessity for use of Tax Increment Financing for Proposed Project: The support of the Nebraska Sites and Building Development Fund will bridge the current financing/equity gap to get the project started yet this fall. We are requesting a $175,000 award to allow us to start the project per the sources/uses gap that exists at this point. $125,000 of this will be available for building and $50,000 will be available for training. Municipal and Corporate References (if applicable). Please identify all other Municipalities, and other Corporations the Applicant has been involved with, or has completed developments in, within the last five (5) years, providing contact person, telephone and fax numbers for each: o Mr. Rand Fisher, President Iowa Area Development Group 2700 Westtown Parkway, Suite 425 West Des Moines, IA 50256 rfisher@iadg.com, (515)223-4743 o Mr. Rob Cleveland, Director Economic Development Indiana Michigan Power recleveland@aep.com (260)408-3453 Grand Island Council Session - 10/13/2015 Page 44 / 175 o Ms. Kathy Bantz, Mayor City of Montpelier Indiana 300 West Huntington Street Montpelier, IN 47359 mayorbantz@montpeliercity.net (765)728-6500 IV. Please Attach Applicant’s Corporate/Business Annual Financial Statements for the Last Three Years. * Not applicable, new entity. Post Office Box 1968 Grand Island, Nebraska 68802-1968 Phone: 308 385-5240 Fax: 308 385-5423 Email: cnabity@grand-island.com Grand Island Council Session - 10/13/2015 Page 45 / 175 Grand Island Council Session - 10/13/2015 Page 46 / 175 Grand Island Council Session - 10/13/2015 Page 47 / 175 Grand Island Council Session - 10/13/2015 Page 48 / 175 Hatchery Holdings, LLC REDEVELOPMENT CONTRACT THIS REDEVELOPMENT CONTRACT (the “Contract”) is entered into between the COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA, (“Authority”), and HATCHERY HOLDINGS, LLC, a Nebraska limited liability company and its successors and assigns (“Redeveloper”). RECITALS A. The City has undertaken a program for the redevelopment of blighted and substandard areas in the City of Grand Island, Nebraska. As part of that program the City has prepared and approved the City of Grand Island Redevelopment Plan Amendment for the Grand Island CRA Area 7 (“Redevelopment Plan”), a copy of which is on file in the Office of the City Clerk of the City (“City Clerk”). The Redevelopment Plan has been adopted in compliance with the Nebraska Community Development Law codified at Neb. Rev. Stat §§18-2101 through 18-2154 (the “Act”). B. The Redevelopment Plan calls for the Authority to support Redeveloper’s acquisition and redevelopment efforts on real estate to be acquired by the Redeveloper which is legally described on Exhibit “A” attached hereto and incorporated herein by this reference (“Redeveloper Property”). C. The Redevelopment Project area incorporates all of the Redeveloper Property as shown on Exhibit “A” attached hereto and incorporated herein by this reference (“Project Site”). D. Neb. Rev. Stat. § 18-2103(12) (Reissue 2012) authorizes the Authority to carry out plans for a program of acquisition, and rehabil itation of buildings and other improvements in connection with redevelopment of the Project Site and to pay for the same from TIF Proceeds (as defined herein). The Redeveloper intends to utilize the TIF Proceeds from the Project Site to pay for the Project Site acquisition, planning, on site utility extensions, rehabilitation and other Redevelopment Project Costs. E. Neb. Rev. Stat. § 18-2107 (Reissue 2012) authorizes the Authority to enter into contracts with redevelopers of property containing covenants and conditions regarding the use of such property as the Authority may deem necessary to prevent the recurrence of substandard and blighted areas. F. Redeveloper is willing to enter into this Contract and implement redevelopment of the Project Site. Redeveloper intends to invest approximately Nineteen Million Nine Hundred Thousand Dollars ($19,900,000) in the redevelopment of the Project site which includes TIF Proceeds.. The Project will result in the acquisition of the Project Site, planning for redevelopment, utility extension and construction of 60,000 square foot hatchery which will include offices as generally shown on the Site Plan attached hereto as Exhibit “B”. The acquisition and construction are sometimes referred to as the “Private Improvements”. G. In order to help remove blight and substandard conditions and improve conditions in an economically underutilized area, the Authority is willing to enter into this Contract and to utilize TIF Proceeds to fund the partial cost of Project Site acquisition and other Redevelopment Project Costs in order to induce the Redeveloper to undertake the Private Improvements as set Grand Island Council Session - 10/13/2015 Page 49 / 175 Hatchery Holdings, LLC forth in Paragraph 13 below (“Private Improvements”). H. The Private Improvements on the Project Site are collectively known as the “Redevelopment Project Improvements”. The costs of the Redevelopment Project Improvements are collectively known as the “Redevelopment Project Costs” and are shown on the Sources and Uses of Funds in Exhibit “C”, which is attached hereto and incorporated herein by this reference. The Authority and Redeveloper agree that assistance with the cost of Project Site acquisition, planning and rehabilitation is deemed essential to the rehabilitation of the Project Site for a 60,000 square foot hatchery and related uses and the Redevelopment Project would not be economically feasible without it. I. The Authority is willing to support the above described redevelopment of the Project Site in accordance with the Redevelopment Project; provided that, Redeveloper is willing to agree to covenants and conditions regarding compulsory maintenance and upkeep of the Private Improvements to prevent a recurrence of substandard and blighted conditions. J. In accordance with §18-2147 of the Act and the terms of the Resolution approving this Redevelopment Contract and providing for the issuance of the TIF Note described herein, (the “Resolution”), the Authority hereby provides that any ad valorem tax on the Project Site for the benefit of any public body be divided for a period of fifteen years after the effective date of this provision, which shall be January 1, 2017. Said taxes shall be divided as follows:  That portion of the ad valorem tax which is produced by the levy at the rate fixed each year by or for each such public body upon the Redevelopment Project valuation shall be paid into the funds of each such public body in the same proportion as are all other taxes collected by or for the body; and  That portion of the ad valorem tax on real property in the Redevelopment Project in excess of such amount, if any, shall be allocated to and, when collected, paid into a special fund of the authority to be used solely to pay the principal of, the interest on, and any premiums due in connection with the bonds of, loans, notes, or advances of money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such authority for financing or refinancing in whole or in part, the Redevelopment Project. When such bonds, loans, notes, advances of money, or indebtedness, including interest and premiums due, have been paid, the authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon taxable real property in such Redevelopment Project shall be paid into the funds of the respective public bodies. Said provision is hereinafter referred to as the “Ad Valorem Tax Provision.” K. Neb. Rev. Stat. §18-2107 and §18-2150 (Reissue 2012) authorize the Authority to contract with private parties in order to accomplish acquisition and redevelopment of the Grand Island Council Session - 10/13/2015 Page 50 / 175 Hatchery Holdings, LLC Project Site in accordance with the Redevelopment Plan. In order to fund said acquisition and redevelopment of the Project Site, the Authority intends to issue tax increment financing indebtedness instrument or instruments in taxable series (the “TIF Note/s”) to be repaid with the tax increment revenues generated under the Ad Valorem Tax Provision (“TIF Tax Revenues”). L. The Authority and Redeveloper desire to enter into this Contract to implement the Redevelopment Project for the above purposes and in accordance with the Redevelopment Plan. M. The Authority and Redeveloper mutually agree that the redevelopment of the Project Site is in the vital and best interest of the City and is in furtherance of the health, safety, and welfare of its residents, and is in accordance with the public purposes and provisions of applicable laws and requirements under which the Redevelopment Plan has been undertaken. NOW, THEREFORE, in consideration of the above recitals which are hereby made part of this Contract and of the mutual covenants contained herein the parties do agree as follows: 1. Design Documents. Redeveloper will prepare a preliminary exterior Schematic Concept Design Plan (hereinafter “Design Documents”) for the Project Site and the same shall be submitted to and reviewed by the City. Redeveloper shall submit any material changes in the Design Documents as approved to the City for review and approval. 2. Construction Documents. The Redeveloper shall prepare or cause to be prepared, at Redeveloper’s expense, detailed final construction plans and specifications for the Redevelopment Project Improvements on the Project Site (hereinafter “Construction Documents”). Redeveloper shall submit such Construction Documents for the Private Improvements to the City for review and approval; provided that review and approval shall be limited to the design and type of materials to be used for the facade of the Private Improvements and to assure the Private Improvements meet the City’s design standards. The City shall approve or reject the Construction Documents for the Private Improvements within ten (10) days after receipt thereof. 3. Construction of Redevelopment Project Improvements; Construction of Private Improvements. The Redeveloper shall at its own cost and expense, construct the Private Improvements substantially in conformance with the Design Documents. Redeveloper agrees to use commercially reasonable efforts to substantially complete construction of the Private Improvements, as provided for in Paragraph 9 below and to pay in a timely manner Redeveloper’s contractor, its subcontractors who performed labor or applied materials performed or used in the prosecution of the Private Improvements as provided for in Paragraph 5 below. Promptly after completion of the Private Improvements and promptly after the Redeveloper provides the Authority the proper documentation that Redeveloper’s subcontractors who performed labor or applied materials performed or used in the prosecution of such Private Improvements have been properly paid in accordance with all the provisions of this Contract, the Authority shall, upon request by the Redeveloper, furnish a Certificate of Completion for the the Project, the form of which is shown on Exhibit “D”, which is attached hereto and incorporated herein by this reference (“Certificate of Completion”). Such certification by the Authority shall be a conclusive determination of satisfaction of the requirements and covenants in this Contract with respect to the obligations of Redeveloper to construct its Private Improvements. The Certificate of Completion shall be recorded by the Authority in the office of the Register of Deeds for Hall County, Nebraska. If the Authority shall refuse or fail to provide the certification in accordance with the provisions of this paragraph after being requested to do so by Redeveloper, the Authority Grand Island Council Session - 10/13/2015 Page 51 / 175 Hatchery Holdings, LLC shall, within fifteen (15) days after written request by Redeveloper, provide Redeveloper with a written statement indicating in what respect Redeveloper has failed to complete its Private Improvements subject to each such certification in accordance with the provisions of this Contract and what measures or acts will be necessary, in the opinion of the Authority, for Redeveloper to take or perform in order to obtain such certification. As used herein, the term "completion" shall mean substantial completion of the Private Improvements, so that they may be reasonably used for their intended purposes. 4. Cost Certification. The Redeveloper shall submit authentic documentation to the Authority on approved forms or format for payment of any expenses related to site acquisition and other Redevelopment Project Costs. The Redeveloper shall timely submit a copy of the signed closing statement for the acquisition of the Project Site, or proof of payment for such site concurrently with the request for payment of Site Acquisition costs. 5. Penal Bond and Insurance. Pursuant to Neb. Rev. Stat. §18-2151, Redeveloper shall furnish or cause to be furnished to the Authority, prior to commencement of construction of the Redevelopment Project Improvements, a penal bond in an amount of Twenty Five Thousand and No/100 Dollars ($25,000) with a corporate surety authorized to do business in the State of Nebraska. Such penal bond shall be conditioned upon the Redeveloper at all times making payment of all amounts lawfully due to all persons supplying or furnishing the Redeveloper, the Redeveloper’s contractor, its subcontractors who performed labor or applied materials performed or used in the prosecution of the Private Improvements. Proof of such penal bond shall be supplied to the Authority prior to the start of construction of the Redevelopment Project Improvements. Any general contractor chosen by the Redeveloper or the Redeveloper itself shall be required to obtain and keep in force at all times until completion of construction, policies of insurance including coverage for contractors' general liability and completed operations. The City, the Authority and the Redeveloper shall be named as additional insured. Any contractor chosen by the Redeveloper or the Redeveloper itself, as owner, shall be required to purchase and maintain property insurance upon the Project to the full insurable value thereof. This insurance shall insure against the perils of fire and extended coverage and shall include “All Risk" insurance for physical loss or damage. The contractor with respect to any specific contract or the Redeveloper shall also carry insurance on all stored materials. The contractor or the Redeveloper, as the case may be, shall furnish the Authority with a Certificate of Insurance evidencing policies as required above. Such certificates shall state that the insurance companies shall give the Authority prior written notice in the event of cancellation of or material change in any of the policies. 6. Indemnification. Redeveloper agrees to indemnify, defend and hold the City and the Authority harmless from any and all sums, costs, expenses, damages, claims, judgments, settlements, litigation costs, attorney and professional fees contracted, incurred or paid by the Authority, to the extent the same results from a failure of Redeveloper, its contractor or subcontractors to make payments of all amounts lawfully due to all persons who performed labor or applied materials performed or used in construction of the Redevelopment Project Improvements. 7. Duty to Maintain Improvements. Redeveloper shall, following construction, operate the Private Improvements in a safe and sanitary manner and shall take all action necessary to maintain, in good order, condition and state of repair, all interior and exterior portions of all buildings located upon the Redeveloper Property, including the routine preventive maintenance of the building and its service facilities such as the wiring, plumbing, heating and air conditioning Grand Island Council Session - 10/13/2015 Page 52 / 175 Hatchery Holdings, LLC systems, interior insect treatment, and all glass including plate glass, exterior doors and automatic doors. 8. Construction Administration. Redeveloper shall be responsible for all components of the Redevelopment Project Improvements, including construction management, coordination of contractors and regulatory permitting and other requirements. The Redeveloper will be solely responsible for payment of all construction costs attributable to the Redevelopment Project Improvements regardless of any expectation for reimbursement hereunder. 9. Timing of Construction. Redeveloper will use commercially reasonable efforts to complete the Private Improvements within eighteen (18) months following the Authority’s execution of this Contract (subject to any excusable delay permitted by Paragraph 25 hereof). 10. Payment of Funds. In order to support redevelopment of the Project Site and as an inducement for the Redeveloper to construct the Redevelopment Project Improvements, the Authority agrees, to the extent allowed by law and then only to the extent funds are lawfully available from the issuance of the TIF Notes (“TIF Proceeds”) as shown in Exhibit “C”, to fund the costs of the Private Improvements in the total amount of the TIF Proceeds less the Authority’s costs identified in Paragraph 13. Redeveloper shall submit authentic and satisfactory documentation to the Authority to verify the costs of the Project Site acquisition before any TIF Proceeds will be expended. 11. Issuance of Redeveloper Purchased TIF Note. The Authority shall issue a taxable TIF Notes, the total principal amount of such taxable series of TIF Notes not to exceed Two Million Six Hundred Seventy Five Thousand Nine Hundred Thirteen and no/100 Dollars ($2,675,913.00). The form of the TIF Note shall be in substantially the form shown on attached Exhibit “E”, for net funds available (“TIF Note”) to be purchased by Redeveloper (“TIF Note Purchaser”), in a written form acceptable to Authority’s attorney, and receive Note Proceeds from the TIF Note Purchaser in said amount. The Authority and Redeveloper agree that the purchase price of the TIF Note and Grant provided in Paragraph 12 may, at the election of the Authority may be offset. The Authority shall have the complete authority to determine the timing of issuing the TIF Note and all the other necessary details of the TIF Note. Redeveloper may assign the TIF Note to a licensed banking institution, but Redeveloper may not sell, transfer, assign or otherwise hypothecate the TIF Note without express written consent of the Authority. Such consent shall not be unreasonably withheld. This restriction shall survive closing and delivery of the said notes. In any event, no assignment shall be approved without prior receipt of an investor letter from the transferee in a form acceptable to legal counsel for the Authority. No TIF Note shall be issued until the Redeveloper has entered into a binding contract for the acquisition of the Project Site and has entered into a construction contract for commencement of construction of the Private Improvements. Proceeds of the Notes may be advanced and disbursed in the manner set forth below: (a) There shall be submitted to the Authority a grant disbursement request (the “Disbursement Request”), executed by the City Planning Director and an authorized representative of the Redeveloper, (i) certifying that a portion of the Project has been substantially completed and (ii) certifying the actual costs incurred by the Redeveloper in the completion of such portion of the Project. Grand Island Council Session - 10/13/2015 Page 53 / 175 Hatchery Holdings, LLC (b) If the costs requested for reimbursement under the Disbursement Request are currently reimbursable under Exhibit C of this Redevelopment Contract and the Act, the Authority shall evidence such allocation in writing and inform the owner of the Notes of any amounts allocated to the Notes. (c) Upon notification from the Authority as described above, the Authority shall make a grant to Redeveloper in the amount of the approved Disbursement Request; in such event, the approved Disbursement Request amount shall offset funding of the Notes. The Registrar shall keep and maintain a record of the amounts deposited into the Project Fund from Notes proceeds pursuant to the terms of this Resolution as “Principal Amount Advanced” and shall enter the aggregate principal amount then Outstanding as the “Cumulative Outstanding Principal Amount” on its records maintained for the Notes. The aggregate amount deposited into the Project Fund from proceeds of the Notes shall not exceed $2,675,913.00. 12. Use of TIF Proceeds. The TIF Proceeds from TIF Note shall be granted to the Redeveloper and be used to fund the costs of set forth on Exhibit “C”. 13. Valuation of Property Within the Redevelopment Project Site. The Authority intends to use the Ad Valorem Tax Provision to generate tax increment financing funds which shall be used to finance the payment of debt service on the TIF Note to fund the Private Improvements in accordance with this Redevelopment Contract. The tax increment is to be derived from the increased valuation, determined in the manner provided for in Article 8, Section 12 of the Constitution of the State of Nebraska and the Act which will be attributable to the redevelopment contemplated under this Contract and within the Project Area. The TIF Tax Revenues which are to be used to pay debt service on the TIF Note will be derived from the increased valuation from redeveloping the Redeveloper Property as provided in this Contract. Redeveloper specifically acknowledges that any protest of the valuation of all or any portion of the Project Area by any party, or a reduction in assessed valuation of all or any portion of the Project Area shall reduce the TIF Tax Revenues available for payment on TIF Note. The Redeveloper specifically acknowledges, as the TIF Note Purchaser, that it bears the entire risk of any reduction in assessed valuation. 14. Debt Service for TIF Notes. The Authority shall, to the extent allowed by law, and then only to the extent funds are lawfully available from TIF Tax Revenues generated by the Project Site pay the TIF Note Purchaser the principal and interest of the TIF Notes. Any debt service on the TIF Notes to be paid from TIF Tax Revenues shall not constitute a general obligation or debt of the City or Authority. Neither the City or Authority shall be liable or be required to reimburse Redeveloper for any costs incurred by Redeveloper in the event this Contract is not approved for any reason, including for reasons alleged to be the fault of the City or Authority. Any excess TIF Tax Revenues resulting from the Ad Valorem Tax Provision on the Project Site not needed or required to pay the TIF Note Purchaser shall be expended by the Authority or returned to the applicable taxing authorities as provided in the Community Development Law. Any shortfall in anticipated TIF funds from the Ad Valorem Tax Provision for any reason whatsoever, specifically including a decline in taxable valuation of the Project Site, shall be borne entirely by the Redeveloper without recourse of any kind against the Authority or the City. The Authority hereby irrevocably pledges the TIF Tax Revenues generated by the Project Site to the payment of the TIF Notes. The Authority shall create a special fund to collect and hold the TIF Tax Revenues. Such special fund shall be used for no purpose other than to pay Grand Island Council Session - 10/13/2015 Page 54 / 175 Hatchery Holdings, LLC the principal and interest price of the respective TIF Notes. Real Property taxes for the year 2031 on the Project Site shall be paid by the Redeveloper on or before December 31, 2031 and such payment shall be considered TIF Tax Revenues (less any administrative cost authorized to be withheld by the Hall County Treasurer) and shall be used for payment on the TIF Note. 15. Payment of Authority Costs. The Redeveloper shall pay the sum of $30,000 to the Authority or their Attorney for reimbursement of legal fees incurred by the Authority related to the redevelopment project and issuance of the TIF Notes. The Redeveloper acknowledges the attorney for the Authority is not providing legal representation to the Redeveloper. The Redeveloper shall also pay the sum of $1,000 to the Authority for reimbursement of costs associated the City of Grand Island making payments and accounting for the TIF Notes issued with this contract. 16. Restriction on Transfer. Redeveloper will not, for a period of fifteen (15) years after the effective date hereof or so long as any TIF Note remains outstanding whichever period of time is shorter (the “Tax Increment Period”), convey the Redeveloper Property or any portion thereof to any entity which will result in such property being exempt from ad valorem taxes levied by the State of Nebraska or any of its subdivisions, unless required to do so by applicable law, including, without limitation, in connection with a condemnation. 17. Financing Creating Encumbrances Restricted. Prior to completion of the Private Improvements, neither Redeveloper, nor any successors in interest with respect to the Redeveloper Property, shall engage in any financing or any other transaction creating any mortgage upon the the Redeveloper Property, whether by express contract or operation of law, or suffer any encumbrance or lien to be made on or attached to the Redeveloper Property, except for the purposes of obtaining funds only to the extent necessary to acquire such property, or design, construct, maintain, repair, replace and insure the Private Improvements, or to refinance said amounts. Redeveloper, or any successor in interest shall notify the Authority in advance of any financing secured by mortgage that it proposes to enter into with respect to Redeveloper Property, and shall promptly notify the Authority of any mortgage that has been created on or attached to the Redeveloper Property whether by voluntary act of Redeveloper or otherwise. Notwithstanding the above, if any involuntary encumbrance or lien is made on or attached to any of the Redeveloper Property and which is contested by Redeveloper, then Redeveloper may defend against such encumbrance or lien, provided that a sufficient Note or security is posted with the Authority, to permit Redeveloper to avoid or prevent foreclosure of such encumbrance or lien. In addition, Redeveloper agrees that prior to completion of the Private Improvements; any loan proceeds secured by any interest in the Redeveloper Property shall be used solely for the payment of costs and expenses related to the development of the Private Improvements. a. In the event that any foreclosure of any mortgage, deed of trust or other encumbrance should occur prior to the furnishing of a Certificate of Completion or at any time when any casualty damage to the Private Improvements has occurred and has not been fully restored, any party who obtains title to any portion of the Redeveloper Property from or through Redeveloper or the holder of any mortgage or any other purchaser at foreclosure sale shall be obligated to commence construction or reconstruction within three (3) months from the date of acquisition of title by said party and to complete construction or restoration within twenty-four (24) months from the date of such acquisition or, in lieu thereof, the holder of any mortgage or any other purchaser at foreclose sale shall pay to the Authority the amount necessary to fully retire the TIF Note within three (3) months from the date of acquisition of title. Grand Island Council Session - 10/13/2015 Page 55 / 175 Hatchery Holdings, LLC b. Whenever the Authority shall deliver any notice or demand to Redeveloper with respect to any breach or default by Redeveloper of its obligations or covenants in this Contract, the Authority shall at the same time forward a copy of such notice or demand to each holder of any mortgage at the last address of such holder as shown in the records of the Register of Deeds of Hall County. c. If thirty (30) days after any notice or demand with respect to any breach or default, such breach or default remains uncured, each such holder shall have the right, at its option, to cure or remedy such breach or default and to add the cost thereof to the mortgage debt and the lien of its mortgage. d. The rights and obligations of this Contract relating to mortgages of any portion of the Redeveloper Property shall apply to any other type of encumbrance on any of the Redeveloper Property, and any of the stated rights, obligations and remedies of any party relating to mortgage foreclosures shall be applicable to procedures under any deed of trust or similar method of encumbrance. 18. Damage or Destruction of Private Improvements. During the construction period and prior to issuance of the Certificate of Completion, Redeveloper agrees to keep its construction areas, including completed operations areas, insured against loss or damage by fire, and such other risks, casualties, and hazards as are customarily covered by builders’ risk or extended coverage policies in an amount not less than the replacement value but allowing for reasonable coinsurance clauses and deductibles. In the event of any insured damage or destruction, Redeveloper agrees to restore the Private Improvements to their prior condition within twelve (12) months from the date of the damage or destruction, and shall diligently pursue the same to completion. In the event Redeveloper fails to restore the same for any reason, Redeveloper shall pay to the Authority the amount of TIF Tax Revenues received by the City in the preceding year times the number of years remaining in the Tax Increment Period. During the Tax Increment Period, Redeveloper shall include by restrictive covenant an enforceable obligation on the Redeveloper or other owner or tenant in possession to maintain property insurance on an extended coverage all-risk basis in an amount not less than the replacement value, allowing for reasonable coinsurance clauses and deductibles and also subject to the Redeveloper or other owner or tenant’s obligation to restore their respective Private Improvements to their prior condition within twelve (12) months from the date of the damage or destruction, diligently pursuing the same to completion. 19. Condemnation. If during the Tax Increment Period, all or any portion of the Redeveloper Property is condemned by a condemning authority other than the City, and the condemning authority or its successor in interest would not be obligated to pay real estate taxes upon that portion condemned, the Authority shall be entitled to claim against the condemner an interest in the property equal to the present value of the pro rata share of tax increment indebtedness outstanding as of the date of taking. 20. Representations. Redeveloper represents and agrees that its undertakings, pursuant to this Contract, have been, are, and will be, for the purpose of redevelopment of Redeveloper Property and not for speculation in land holding. 21. Restrictions on Assignments of Rights or Obligations. Redeveloper represents and agrees that prior to completion of the Private Improvements there shall be no sale or transfer of the Redeveloper Property or assignment of Redeveloper’s rights or obligations under this Contract to any party without the prior written approval of the Authority (which shall not be unreasonably withheld, conditioned, or delayed), other than leases, mortgages and involuntary transfers by Grand Island Council Session - 10/13/2015 Page 56 / 175 Hatchery Holdings, LLC reason of death, insolvency, or incompetence. The Authority shall be entitled to require, as conditions to any required approval, that: a. Any proposed transferee shall have the qualifications and financial responsibility, as determined by the Authority, necessary and adequate to fulfill the obligations undertaken in this Contract by Redeveloper; and b. Any proposed transferee, by instrument satisfactory to the Authority and in form recordable in the Office of the Register of Deeds, shall for itself and its successors and assigns and for the benefit of the Authority, have expressly assumed all of the obligations of Redeveloper under this Contract; and c. Copies of the documents addressing items (a) and (b) shall be submitted to the Authority for review, not less than ten (10) days prior a regularly scheduled meeting of the Authority and not less than less than ten (10) days prior to the proposed transfer. If the transfer or any of the documentation in connection therewith is disapproved by the Authority, its disapproval and reasons therefore shall be indicated to Redeveloper in writing. 22. Representations and Warranties of Parties. a. Redeveloper represents and warrants to Authority as follows: i. Organization; Power; Good Standing. Redeveloper is a limited liability company duly organized and validly existing in good standing under the laws of _____________. Redeveloper is qualified to do business in the State of Nebraska and has all requisite power and authority to own and operate its properties and carry on its business as now being conducted and to enter into this Contract and perform the obligations hereunder. ii. Authority Relative to Contract. This Contract has been duly executed and delivered by Redeveloper and constitutes a legal, valid and binding obligation of Redeveloper, enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization, or other laws affecting the enforcement of creditor's rights generally, or by judicial discretion in connection with the application of equitable remedies. iii. Effect of Contract. The execution, delivery and performance of this Contract by Redeveloper has been duly authorized by all necessary action by Redeveloper and except as provided in this Contract will not require the consent, waiver, approval, license or authorization of any person or public authority, and will not violate any provision of law applicable to Redeveloper, and will not violate any instrument, contract, order, judgment, decree, statute, regulation, or any other restriction of any kind to which Redeveloper is a party. b. Authority represents and warrants to Redeveloper as follows: i. Authority Relative to Contract. This Contract has been duly executed and delivered by the Authority and constitutes a legal, valid and binding obligation of the Authority, enforceable in accordance with its terms, except as the same may be limited by bankruptcy, insolvency, reorganization, or other laws affecting the enforcement of creditor’s rights generally, or by judicial discretion in connection with the application of equitable remedies. ii. Effect of Contract. The execution, delivery and performance of this Grand Island Council Session - 10/13/2015 Page 57 / 175 Hatchery Holdings, LLC Contract by Authority have been duly authorized by all necessary action by the Authority and except as provided in this Contract will not require the consent, waiver, approval, license or authorization of any person or public authority, and will not violate any provision of law applicable to the Authority, and will not violate any instrument, contract, order, judgment, decree, statute, regulation, or any other restriction of any kind to which the Authority is a party. 23. Remedies. General Remedies of Authority and Redeveloper. Subject to the further provisions of this Paragraph 23, in the event of any failure to perform or breach of this Redevelopment Contract or any of its terms or conditions, by any party hereto or any successor to such party, such party, or successor, shall, upon written notice from the other, proceed immediately to commence such actions as may be reasonably designed to cure or remedy such failure to perform or breach which cure or remedy shall be accomplished within a reasonable time by the diligent pursuit of corrective action. In case such action is not taken, or diligently pursued, or the failure to perform or breach shall not be cured or remedied within a reasonable time, this Redevelopment Contract shall be in default and the aggrieved party may institute such proceedings as may be necessary or desirable to enforce its rights under this Redevelopment Contract, including, but not limited to, proceedings to compel specific performance by the party failing to perform or in breach of its obligations. The Redeveloper hereby acknowledges and agrees that the Authority shall have completed its required performances and satisfied all of its obligations under this Redevelopment Contract upon the issuance of the Indebtedness and the subsequent payment of grant amounts to the Redeveloper as set forth in Paragraph 12 hereof and by complying with the obligations of all Redevelopment Contract Amendments. a. Additional Remedies of Authority In the event that (each such event an "event of default"): i the Redeveloper, or its successor in interest, shall fail to commence the construction of the improvements included in the Project Costs on or before December 1, 2015, or shall abandon construction work related to the Project Costs, once commenced, for any period of 180 days, excepting delays caused by inclement weather, ii the Redeveloper, shall fail to pay real estate taxes or assessments on the Redevelopment Project Property owned by the Redeveloper or any part thereof when due; and iii there is a violation of any other provision of this Redevelopment Contract, and such failure or action by the Redeveloper has not been cured within 90 days following written notice from Authority, then the Redeveloper shall be in default of this Redevelopment Contract. In the event of such failure to perform, breach or default occurs and is not cured in the period herein provided, the parties agree that the damages caused to the Authority would be Grand Island Council Session - 10/13/2015 Page 58 / 175 Hatchery Holdings, LLC difficult to determine with certainty and that a reasonable estimation of the amount of damages that could be incurred is the amount of the grant to Redeveloper pursuant to Paragraph 12 of this Redevelopment Contract, less any reductions in the principal amount of the Indebtedness, plus interest on such amounts as provided herein (the "Liquidated Damages Amount"). Upon the occurrence of an event of default, the Liquidated Damages Amount shall be paid by Redeveloper to Authority within 30 days of demand from Authority given to the Redeveloper. Interest shall accrue on the Liquidated Damages Amount at the rate of nine percent (9%) per annum and interest shall commence from the date that the Authority gives notice to the Redeveloper demanding payment. Payment of the Liquidated Damages Amount shall not relieve Redeveloper of its obligation to pay real estate taxes or assessments with respect to the Redevelopment Project Property and the Project. Redeveloper, on or before contracting for work included within the Project Costs, shall furnish to the Authority copies of labor and materials payment bonds and performance bonds for each contract entered into by Redeveloper related to Project Costs. Each such bond shall show the Authority and the City as well as the Redeveloper as beneficiary of any such bond, as and to the extent commercially obtainable (as determined in the discretion of the Authority). In addition, the Redeveloper shall provide a penal bond with good and sufficient surety to be approved by the Authority, conditioned that the Redeveloper shall at all times promptly make payments of all amounts lawfully due to all persons supplying or furnishing to any contractor or his or her subcontractors (for each contract entered into by Redeveloper related to Project Costs) with labor or materials performed or used in the prosecution of the work provided for in such contract, and will indemnify and save harmless the Authority to the extent of any payments in connection with the carrying out of such contracts which the Authority may be required to make under the law. b. Remedies in the Event of Other Redeveloper Defaults. In the event the Redeveloper fails to perform any other provisions of this Redevelopment Contract, the Redeveloper shall be in default. In such an instance, the Authority may seek to enforce the terms of this Redevelopment Contract or exercise any other remedies that may be provided in this Redevelopment Contract or by applicable law; provided, however, that any defaults covered by this Section shall not give rise to a right or rescission on termination of this Redevelopment Contract, and shall not be covered by the Liquidated Damages Amount. c. Forced Delay Beyond Party's Control. For the purposes of any of the provisions of this Redevelopment Contract, neither the Authority nor the Redeveloper, as the case may be, nor any successor in interest, shall be considered in breach of or default in its obligations with respect to the conveyance or preparation of the Redevelopment Area or any part thereof for redevelopment, or the beginning and completion of construction of the Project, or progress in respect thereto, in the event of forced delay in the performance of such obligations due to unforeseeable causes beyond its control and Grand Island Council Session - 10/13/2015 Page 59 / 175 Hatchery Holdings, LLC without its fault or negligence, including, but not restricted to, acts of God, or of the public enemy, acts of the Government, acts of the other party, fires, floods, epidemics, quarantine restrictions, strikes, freight embargoes, and unusually severe weather or delays in subcontractors due to such causes; it being the purpose and intent of this provision that in the event of the occurrence of any such forced delay, the time or times for performance of the obligations of the Authority or of the Redeveloper with respect to construction of the Project, as the case may be, shall be extended for the period of the forced delay: Provided, that the party seeking the benefit of the provisions of this section shall, within thirty (30) days after the beginning of any such forced delay, have first notified the other party thereto in writing, and of the cause or causes thereof and requested an extension for the period of the forced delay. d. Limitations of Liability; Indemnification. Notwithstanding anything in this Paragraph 23 or this Redevelopment Contract to the contrary, neither the City, the Authority, nor their respective elected officials, officers, directors, appointed officials, employees, attorneys, agents or their governing bodies shall have any pecuniary obligation or monetary liability under this Redevelopment Contract. The sole obligation of the Authority under this Redevelopment Contract shall be the issuance of the Indebtedness and granting of a portion of the proceeds thereof to Redeveloper, and full compliance with the terms specifically set forth Paragraphs 11 and 12 hereof and payment of TIF Revenues pledged pursuant to the Resolution. The Redeveloper releases the City and Authority from, agrees that neither the City nor Authority shall be liable for, and agrees to indemnify and hold the City and Authority harmless from any liability for any loss or damage to property or any injury to or death of any person that may be occasioned by any cause whatsoever pertaining to the Project. The Redeveloper will indemnify and hold each of the City and Authority and their respective elected officials, directors, officers, appointed officials, attorneys, agents, employees and members of their governing bodies free and harmless from any loss, claim, damage, demand, tax, penalty, liability, disbursement, expense, excluding litigation expenses, attorneys' fees and expenses, or court costs arising out of any damage or injury, actual or claimed, of whatsoever kind or character, to property (including loss of use thereof) or persons, occurring or allegedly occurring in, on or about that portion of the Project owned by the Redeveloper, during the term of this Redevelopment Contract or arising out of any action or inaction of Redeveloper, related to activities of the Redeveloper or its agents during the construction of the public infrastructure or public right of ways in the Project. 24. Waiver. The parties shall have the right to institute actions or proceedings as they may deem necessary to enforce this Contract. Any delay in instituting any action or otherwise asserting rights under this Contract shall not operate as a waiver of rights or limit rights in any way. 25. Redeveloper Performance. The parties specifically agree that a substantial inducement for the Authority to provide the grant set forth in Paragraph 12 hereof is the promise of the Redeveloper to hire employees and operate a hatchery business on the Redevelopment Project Area. Therefore, the Redeveloper shall, within 18 months from the execution of this Redevelopment Contract: Grand Island Council Session - 10/13/2015 Page 60 / 175 Hatchery Holdings, LLC a. Employ ____ individuals, with the specific requirement that 51% or more of such individuals be low to moderate income as determined by the Nebraska Department of Economic Development; and b. Actively operate a hatchery business on the Redevelopment Area for a period of 15 years from October 1, 2017. 26. Contract to Pay Taxes. Redeveloper agrees to pay all real property taxes levied upon the Redeveloper Property and Private Improvements prior to the time the taxes become delinquent. The contractual obligation by Redeveloper to pay such taxes prior to delinquency shall cease upon expiration of the Tax Increment Period, but the Authority in no way waives the statutory obligation to continue to pay real estate taxes. This provision shall not be deemed a waiver of the right to protest or contest the valuation of the lots or improvements for tax purposes, except as such right is otherwise restricted by this Contract. 27. Rights and Remedies Cumulative. The rights and remedies of the parties to this Contract shall be cumulative and the exercise by either party of anyone or more remedies shall not preclude the exercise by it of any other remedies for any other default or breach by the other party. A waiver of any right of either party conferred by this Contract shall be effective only if in writing and only to the extent specified in writing. 28. Authority Representatives Not Individually Liable. No official or employee of the Authority shall be personally liable to Redeveloper or any successors in interest due to any default or breach by the Authority under the terms of this Contract. 29. Notices and Demands. A notice under this Contract by a party to the other party shall be deemed delivered on the date it is postmarked, sent postage prepaid, certified or registered mail, or delivered personally to Hatchery Holdings, LLC, at 5800 Merle Hay Road, Suite 14, P.O. Box 394, Johnston, IA 50131; and to the Authority at Community Redevelopment Authority of Grand Island P.O. Box 1968, Grand Island, NE, 68802-1968, Attention: Regional Planning Director , with a copy to Michael L. Bacon, Bacon and Vinton, LLP, Post Office Box 208, Gothenburg, NE 69138, or at such other address with respect to either party as that party may from time to time designate in writing and notify the other as provided in this section. 30. Access to Project Site. During construction of the Private Improvements, Redeveloper shall permit the representatives of the Authority to enter all areas of the Redeveloper Property and at any and all reasonable times, as the Authority may deem necessary for the purposes of inspection of work being performed in connection with the construction of the facility. 31. Provisions Run With the Land. This Contract shall run with the Redeveloper Property and shall inure to and bind the parties and their successors in interest. This Redevelopment Contract or a Memorandum hereof shall be recorded, by the Authority, with the Register of Deeds of Hall County, Nebraska, against the Redeveloper Property at the Redeveloper’s expense. 32. Headings. Headings of the sections of this Contract are inserted for convenience only and shall be disregarded in interpreting any of its provisions. 33. Severance and Governing Law. Invalidation of any provision of this Contract by judgment or court order shall not affect any other provisions which shall remain in full force and effect. This Contract shall be construed and governed by the laws of Nebraska. 34. Expiration of Contract. Unless otherwise stated herein, this Contract shall expire upon expiration of the Tax Increment Period, or retirement in full of the TIF Notes, whichever first occurs; provided the Authority and Redeveloper agree to execute any release necessary to be filed of record to evidence such expiration or termination, unless otherwise stated herein. Grand Island Council Session - 10/13/2015 Page 61 / 175 Hatchery Holdings, LLC 35. Interpretations. Any uncertainty or ambiguity existing herein shall not be interpreted against either party because such party prepared any portion of this Contract, but shall be interpreted according to the application of rules of interpretation of contracts generally. 36. Counterparts. This Contract may be executed in one or more counterparts which, when assembled, shall constitute an executed original hereof. 37. Nondiscrimination. Redeveloper, its successors and transferees agree that, as long as the TIF Note is outstanding, it will not discriminate against any person or group of persons on account of race, religion, sex, color, national origin, ancestry, disability, marital status or receipt of public assistance in connection with the Redevelopment Project. Redeveloper, its successors and transferees, agrees that during the construction of the Redevelopment Project, Redeveloper will not discriminate against any employee or applicant for employment because of race, religion, sex, color, national origin, ancestry, disability, marital status or receipt of public assistance, and further agrees to require that its contractor and subcontractors shall agree to conform to said requirements. Redeveloper will comply with all applicable federal, state and local laws related to the Redevelopment Project. For purposes of this paragraph, discrimination shall mean discrimination as defined by the laws of the United States and the State of Nebraska. 38. Audit and Review. Redeveloper shall be subject to audit by the Authority and shall make available to the Authority or its designee copies of all financial and performance related records and materials germane to this Contract. The Authority shall cooperate and make available to the Redeveloper or its agent copies of all financial and performance related records and materials germane to the Project Account and the TIF Proceeds. 39. Evidence of Financial Ability of Redeveloper. The Authority acknowledges that the Redeveloper has previously provided to the Authority, on a confidential and privileged basis, evidence of availability of the specific amount of finances necessary for purposes of carrying out the commitment of the Redeveloper in connection with the Project Site. 40. Effective Date. For purposes of determining the effective date as stated in Neb. Rev. Stat.§18-2147, the effective date of this Contract shall be January 1, 2017. The parties acknowledge that the rehabilitation contemplated hereby will extend substantially into the 2017 calendar year. For all other purposes, this Contract shall be effective on the date the last party hereto executes this Contract. 41. Immigration Requirement. The Redeveloper agrees that any contractor for the Project shall be required to agree to use a federal immigration verification system (as defined in Nebraska Revised Statute §4-114) to determine the work eligibility status of new employees physically performing services on the Project and to comply with all applicable requirements of Nebraska Revised Statute §4-114. 42. Relocation Expenses. The Redeveloper agrees to indemnify and hold the City and the Authority harmless from any and all liability to the extent resulting from the Redeveloper’s failure to make payments of all amounts lawfully due to all persons, firms, or organizations under any city, state or federal relocation laws or regulation in connection with the Project Site. The terms of this section shall survive any termination of this Contract. [The remainder of this page is intentionally left blank] Grand Island Council Session - 10/13/2015 Page 62 / 175 Hatchery Holdings, LLC Executed by Authority this ___ day of ____________, 2015. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA ____________________________ Chair or Vice Chair ATTEST: _________________________ Secretary STATE OF NEBRASKA ) ) ss. COUNTY OF HALL ) The foregoing instrument was acknowledged before me this ____day of _________, 2015, by _______________________ Chair (or Vice Chair) of the Community Redevelopment Authority of the City of Grand Island, Nebraska. _______________________________ Notary Public Grand Island Council Session - 10/13/2015 Page 63 / 175 Hatchery Holdings, LLC Executed by Redeveloper this _____ day of ___________________ , 2015 HATCHERY HOLDINGS, LLC, a ____________ limited liability company By:_________________________________ Manager STATE OF ______________) ) ss. COUNTY OF ____________) The foregoing instrument was acknowledged before me this ____ day of ___________, 2015, by ___________________, the Manager of Hatchery Holdings, LLC, a ____________ limited liability company, on behalf of the limited liability company. Notary Public _____________________________ Grand Island Council Session - 10/13/2015 Page 64 / 175 Hatchery Holdings, LLC Exhibit “A” REDEVELOPER PROPERTY [To be determined] Grand Island Council Session - 10/13/2015 Page 65 / 175 Hatchery Holdings, LLC Exhibit “B” PROJECT SITE PLAN Grand Island Council Session - 10/13/2015 Page 66 / 175 Hatchery Holdings, LLC Exhibit “C” USES AND SOURCES OF FUNDS PUBLIC IMPROVEMENTS AND ELIGIBLE PRIVATE IMPROVEMENTS - USES OF FUNDS- Project Sources and Uses. Use of Funds. Use of Funds. Description Eligible for TIF Funds Private Funds Total Site Acquisition $1,600,000 $1,600,000 Utilities/On Site Improvements $444,313 359,687 $804,000 Legal Private $250,000 $250,000 Legal CRA Cost $30,000 $30,000 Fees1 $1,600 $1,600 Architecture $350,000 $350,000 Building Construction Costs $10,034,000 $10,034,000 Soft Costs $610,000 $610,000 Personal Property $6,000,000 $6,000,000 TOTALS $2,675,913 $17,003,687 $19,679,600 Grand Island Council Session - 10/13/2015 Page 67 / 175 Hatchery Holdings, LLC Exhibit “D” CERTIFICATE OF COMPLETION OF PRIVATE IMPROVEMENTS KNOW ALL PEOPLE BY THESE PRESENTS: That the Community Redevelopment Authority of the City of Grand Island, Nebraska, hereinafter called "Authority", hereby makes the conclusive determination and certification that, with regard to the following real property situated in the City of Grand Island, Hall County, Nebraska, to wit ("Redeveloper Property"): [To be determined] all the improvements required to be constructed upon the above-described Redeveloper Property have been satisfactorily completed in accordance with the requirements of the REDEVELOPMENT CONTRACT with Hatchery Holdings, LLC, dated __________ ("Contract") by and between the COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA, , and Hatchery Holdings, LLC, a Nebraska limited liability company (“Redeveloper”), said Contract with an effective date of January 1, 2017, and recorded as Instrument No.____________________, in the office of the Register of Deeds for Hall County, Nebraska. The Authority further makes the conclusive determination that the Private Improvements (as defined in the Contract) to the above-described Redeveloper Property are presently in conformance with the Contract. IN WITNESS WHEREOF, the Authority and Redeveloper have executed this instrument this ______ day of ______________________, 201_. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA ATTEST: _________________________________ By: _____________________________ Secretary Chair Grand Island Council Session - 10/13/2015 Page 68 / 175 Hatchery Holdings, LLC STATE OF NEBRASKA ) ) ss. COUNTY OF HALL ) The foregoing instrument was acknowledged before me this ____day of ________, 201_, ____________________, Chair of the Redevelopment Authority of the City of Grand Island, Nebraska, on behalf of the Authority. ___________________________ “Redeveloper” Hatchery Holdings, LLC, a ___________ limited liability company qualified to do business in the state of Nebraska By:_________________________________ Manager STATE OF ______________ ) ) ss. COUNTY OF ___________ ) The foregoing instrument was acknowledged before me this ____ day of _________, 201__, by ______________________, the Manager of Hatchery Holdings, LLC, a Nebraska limited liability company, on behalf of the limited liability company. Grand Island Council Session - 10/13/2015 Page 69 / 175 Hatchery Holdings, LLC Exhibit “E” (FORM OF NOTE) UNITED STATES OF AMERICA STATE OF NEBRASKA COUNTY OF HALL COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA TAX INCREMENT DEVELOPMENT REVENUE NOTE (HATCHERY HOLDINGS PROJECT), SERIES 2015 Series No. R-1 Total of Series of Notes not to exceed $2,675,913.00 (subject to reduction as described herein) Date of Date of Rate of Original Issue Maturity Interest December 31, 2031 ?.?% REGISTERED OWNER: HATCHERY HOLDINGS, LLC PRINCIPAL AMOUNT: SEE SCHEDULE 1 ATTACHED HERETO REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THE NOTE SET FORTH ON THE FOLLOWING PAGES, WHICH FURTHER PROVISIONS SHALL FOR ALL PURPOSES HAVE THE SAME EFFECT AS IF SET FORTH AT THIS PLACE. IN WITNESS WHEREOF, THE COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA has caused this Note to be signed by the manual signature of the Chairman of the Authority, countersigned by the manual signature of the Secretary of the Authority, and the City’s corporate seal imprinted hereon. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA [S E A L] By: (manual signature) Chairman Grand Island Council Session - 10/13/2015 Page 70 / 175 Hatchery Holdings, LLC By: (manual signature) Secretary The COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA (the “Authority”) acknowledges itself indebted to, and for value received hereby promises to pay, but solely from certain specified tax revenues and other funds hereinafter specified, to the Registered Owner named above, or registered assigns, on the Date of Maturity stated above (or earlier as hereinafter referred to), the Principal Amount on Schedule 1 attached hereto upon presentation and surrender hereof at the office of the registrar and paying agent herefor, the Treasurer of the City of Grand Island, Nebraska (the “Registrar”), and in like manner to pay interest on the Cumulative Outstanding Principal Amount reflected in Schedule 1 at the Rate of Interest stated above, calculated on the basis of a 360-day year consisting of twelve, 30-day months, from the Date of Original Issue stated above, or the most recent interest payment date to which interest has been paid or duly provided for, as specified below, to maturity or earlier redemption, payable semiannually on June 1 and December 1 of each year until payment in full of such Principal Amount, beginning June 1, 2018, by check or draft mailed to the Registered Owner hereof as shown on the Note registration books maintained by the Registrar on the 15th day of the month preceding the month in which the applicable interest payment date occurs, at such Owner’s address as it appears on such Note registration books. The principal of this Note and the interest hereon are payable in any coin or currency which on the respective dates of payment thereof is legal tender for the payment of debts due the United States of America. This Note is issued by the Authority under the authority of and in full compliance with the Constitution and statutes of the State of Nebraska, including particularly Article VIII, Section 12 of the Nebraska Constitution, Sections 18-2101 to 18-2153, inclusive, Reissue Revised Statutes of Nebraska, as amended, and under and pursuant to Resolution No. ________ duly passed and adopted by the Authority on __________2015, as from time to time amended and supplemented (the “Resolution”). THE PRINCIPAL AMOUNT OF THIS NOTE IS SET FORTH IN SCHEDULE 1 ATTACHED HERETO. [THE MAXIMUM PRINCIPAL AMOUNT OF THIS SERIES OF NOTES IS $2,675.913.] This Note is a special limited obligation of the Authority payable as to principal and interest solely from and is secured solely by the Revenue (as defined in the Resolution) and certain other money, funds and securities pledged under the Resolution, all on the terms and conditions set forth in the Resolution. The Revenue represents that portion of ad valorem taxes levied by public bodies of the State of Nebraska, including the City, on real property in the Project Area (as defined in this Resolution) which is in excess of that portion of such ad valorem taxes produced by the levy at the rate fixed each year by or for each such public body upon the valuation of the Project Area as of a certain date and as has been certified by the County Assessor of Hall County, Nebraska to the City in accordance with law. Grand Island Council Session - 10/13/2015 Page 71 / 175 Hatchery Holdings, LLC Reference is hereby made to the Resolution for the provisions, among others, with respect to the collection and disposition of certain tax and other revenues, the special funds charged with and pledged to the payment of the principal of and interest on this Note, the nature and extent of the security thereby created, the terms and conditions under which this Note has been issued, the rights and remedies of the Registered Owner of this Note, and the rights, duties, immunities and obligations of the City and the Authority. By the acceptance of this Note, the Registered Owner assents to all of the provisions of the Resolution. The principal of and interest hereon shall not be payable from the general funds of the City nor the Authority nor shall this Note constitute a legal or equitable pledge, charge, lien, security interest or encumbrance upon any of the property or upon any of the income, receipts, or money and securities of the City or the Authority or of any other party other than those specifically pledged under the Resolution. This Note is not a debt of the City or the Authority within the meaning of any constitutional, statutory or charter limitation upon the creation of general obligation indebtedness of the City or the Authority, and does not impose any general liability upon the City or the Authority and neither the City nor the Authority shall be liable for the payment hereof out of any funds of the City or the Authority other than the Revenues and other funds pledged under the Resolution, which Revenues and other funds have been and hereby are pledged to the punctual payment of the principal of and interest on this Note in accordance with the provisions of this Resolution. The Registered Owner may from time to time enter the respective amounts advanced pursuant to the terms of the Resolution under the column headed “Principal Amount Advanced” on Schedule 1 hereto (the “Table”) and may enter the aggregate principal amount of this Note then outstanding under the column headed “Cumulative Outstanding Principal Amount” on the Table. On each date upon which a portion of the Cumulative Outstanding Principal Amount is paid to the Registered Owner pursuant to the redemption provisions of the Resolution, the Registered Owner may enter the principal amount paid on this Note under the column headed “Principal Amount Redeemed” on the Table and may enter the then outstanding principal amount of this Note under the column headed “Cumulative Outstanding Principal Amount” on the Table. Notwithstanding the foregoing, the records maintained by the Trustee as to the principal amount issued and principal amounts paid on this Note shall be the official records of the Cumulative Outstanding Principal Amount of this Note for all purposes. Reference is hereby made to the Resolution, a copy of which is on file in the office of the City Clerk, and to all of the provisions of which each Owner of this Note by its acceptance hereof hereby assents, for definitions of terms; the description of and the nature and extent of the security for this Note; the Revenue and other money and securities pledged to the payment of the principal of and interest on this Note; the nature and extent and manner of enforcement of the pledge; the conditions upon which the Resolution may be amended or supplemented with or without the consent of the Owner of this Note; the rights, duties and obligations of the Authority and the Registrar thereunder; the terms and provisions upon which the liens, pledges, charges, trusts and covenants made therein may be discharged at or prior to the maturity or redemption of this Note, and this Note thereafter no longer be secured by the Resolution or be deemed to be outstanding thereunder, if money or certain specified securities shall have been deposited with the Registrar sufficient and held in trust solely for the payment hereof; and for the other terms and provisions Grand Island Council Session - 10/13/2015 Page 72 / 175 Hatchery Holdings, LLC thereof. This Note is subject to redemption prior to maturity, at the option of the Authority, in whole or in part at any time at a redemption price equal to 100% of the principal amount being redeemed, plus accrued interest on such principal amount to the date fixed for redemption. Reference is hereby made to the Resolution for a description of the redemption procedures and the notice requirements pertaining thereto. In the event this Note is called for prior redemption, notice of such redemption shall be given by first-class mail to the Registered Owner hereof at its address as shown on the registration books maintained by the Registrar not less than 10 days prior to the date fixed for redemption, unless waived by the Registered Owner hereof. If this Note, or any portion thereof, shall have been duly called for redemption and notice of such redemption duly given as provided, then upon such redemption date the portion of this Note so redeemed shall become due and payable and if money for the payment of the portion of the Note so redeemed and the accrued interest thereon to the date fixed for redemption shall be held for the purpose of such payment by the Registrar, interest shall cease to accrue and become payable hereon from and after the redemption date. This Note is transferable by the Registered Owner hereof in person or by its attorney or legal representative duly authorized in writing at the principal office of the Registrar, but only in the manner, subject to the limitations and upon payment of the charges provided in the Resolution, and upon surrender and cancellation of this Note. Upon such transfer, a new Note of the same series and maturity and for the same principal amount will be issued to the transferee in exchange therefor. The Authority and the Registrar may deem and treat the Registered Owner hereof as the absolute owner hereof for the purpose of receiving payment of or on account of principal of and interest due hereon and for all other purposes. This Note is being issued as fully a registered Note without coupons. This Note is subject to exchange as provided in the Resolution. It is hereby certified, recited and declared that all acts, conditions and things required to have happened, to exist and to have been performed precedent to and in the issuance of this Note have happened, do exist and have been performed in regular and due time, form and manner; that this Note does not exceed any constitutional, statutory or charter limitation on indebtedness; and that provision has been made for the payment of the principal of and interest on this Note as provided in this Resolution. [The remainder of this page intentionally left blank] Grand Island Council Session - 10/13/2015 Page 73 / 175 Hatchery Holdings, LLC (FORM OF ASSIGNMENT) ASSIGNMENT FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto ___________________________________________________________________________ Print or Type Name, Address and Social Security Number or other Taxpayer Identification Number of Transferee the within Note and all rights thereunder, and hereby irrevocably constitutes and appoints _______________ agent to transfer the within Note on the Note register kept by the Registrar for the registration thereof, with full power of substitution in the premises. Dated: _______________ ____________________________________ NOTICE: The signature to this Assignment must correspond with the name of the Registered Owner as it appears upon the face of the within Note in every particular. Signature Guaranteed By: ____________________________________ Name of Eligible Guarantor Institution as defined by SEC Rule 17 Ad-15 (17 CFR 240.17 Ad-15) By:________________________________ Title:_______________________________ [The remainder of this page intentionally left blank] Grand Island Council Session - 10/13/2015 Page 74 / 175 Hatchery Holdings, LLC SCHEDULE 1 TABLE OF CUMULATIVE OUTSTANDING PRINCIPAL AMOUNT COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA HATCHERY HOLDINGS REDEVELOPMENT PROJECT TAX INCREMENT DEVELOPMENT REVENUE NOTE, SERIES R-1 2015 Date Principal Amount Advanced Principal Amount Redeemed Cumulative Outstanding Principal Amount Notation Made By Grand Island Council Session - 10/13/2015 Page 75 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item F-1 #9560 - Consideration of Proposed Changes to Salary Ordinance Staff Contact: Aaron Schmid, Human Resources Director Grand Island Council Session - 10/13/2015 Page 76 / 175 Council Agenda Memo From:Aaron Schmid, Human Resources Director Meeting:October 13, 2015 Subject:Salary Ordinance Presenter(s):Aaron Schmid, Human Resources Director Background The salary ordinance for employees of the City of Grand Island comes before Council when changes are necessary. The following explains the two (2) changes to the salary ordinance. Discussion The first item is the renaming of the Stormwater Technician position to Stormwater Program Manager. The title change will more accurately reflect the position and support recruiting efforts to fill the position. No changes to job duties or salary will be made. The second item is a change to how shift differential premium pay is determined for Senior Public Safety Dispatchers and Public Safety Dispatchers. Currently, Dispatchers must work a complete shift on 2nd shift (3p-11p) or 3rd shift (11p-7a) to receive the shift differential premium. The change will allow shift differential premium pay for any hours worked on 2nd and 3rd shifts. This change will help support greater flexibility in staffing coverage and provide a mutual beneficial to the employees. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Grand Island Council Session - 10/13/2015 Page 77 / 175 Recommendation City Administration recommends that the Council approve Salary Ordinance #9560. Sample Motion Move to approve Salary Ordinance #9560. Grand Island Council Session - 10/13/2015 Page 78 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney ORDINANCE NO. 9560 An ordinance to amend Ordinance 9549 known as the Salary Ordinance which lists the currently occupied classifications of officers and employees of the City of Grand Island, Nebraska and established the ranges of compensation of such officers and employees; to add the non-union position and salary range of Victim/Witness Advocate; to amend the salary ranges of non-union employees;to rename the IBEW Service/Clerical position of Stormwater Technician to Stormwater Program Manager; to amend the shift differential for the IBEW Service/Clerical position of Public Safety Dispatcher; to amend the shift differential for the non-union position of Senior Public Safety Dispatcher; to amend the salary ranges of employees covered under the AFSCME labor agreement; to amend the salary ranges of employees covered under the IBEW Utilities, IBEW Finance, IBEW Wastewater and the IBEW Service Clerical labor agreements; to amend the salary ranges of employees covered under the FOP labor agreement; to amend the salary ranges of employees covered under the IAFF labor agreement; and to repeal those portions of Ordinance No. 9549 and any parts of other ordinances in conflict herewith; to provide for severability; to provide for the effective date thereof; and to provide for publication of this ordinance in pamphlet form. BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA: SECTION 1. The currently occupied classifications of officers and general employees of the City of Grand Island, and the ranges of compensation (salary and wages, excluding shift differential as provided by Personnel Rules & Regulations) to be paid for such classifications, and the number of hours and work period which certain officers and general employees shall work prior to overtime eligibility are as follows: Grand Island Council Session - 10/13/2015 Page 79 / 175 ORDINANCE NO. 9560(Cont.) - 2 - Classification Hourly Pay Range Min/Max Overtime Eligibility Accountant 23.5633/33.7228 Exempt Accounting Technician – Solid Waste 19.5260/23.5936 40 hrs/week Assistant to the City Administrator 22.9200/32.2648 Exempt Assistant Finance Director 32.9968/47.6559 Exempt Assistant Public Works Director / Manager of Engineering Services 34.0370/51.6755 Exempt Assistant Utilities Director – Distribution 48.7903/69.3328 Exempt Assistant Utilities Director – Production 52.8344/75.1064 Exempt Assistant Utilities Director – Transmission 52.8344/75.1064 Exempt Attorney 29.3208/45.2405 Exempt Biosolids Technician 18.5804/27.3972 40 hrs/week Building Department Director 34.3474/50.2154 Exempt CADD Operator 21.0997/30.3529 40 hrs/week Cemetery Superintendent 21.3846/33.6384 Exempt City Administrator 69.4139/81.0483 Exempt City Attorney 41.5086/59.8505 Exempt City Clerk 28.7959/41.4076 Exempt Civil Engineer I 28.4483/41.1268 Exempt Civil Engineer II 32.9968/47.6559 Exempt Civil Engineering Manager – Utility PCC 35.9394/53.7496 Exempt Collection System Supervisor 23.5416/33.4641 40 hrs/week Community Service Officer 15.0188/21.2122 40 hrs/week Custodian – Library, Police 13.7301/19.7513 40 hrs/week Customer Service Representative – Part time 9.0721/13.6081 40 hrs/week Customer Service Team Leader 19.8856/27.1643 Exempt Electric Distribution Superintendent 36.9413/50.3850 Exempt Electric Distribution Supervisor 31.1960/42.5738 40 hrs/week Electric Underground Superintendent 32.8985/44.8796 Exempt Electrical Engineer I 28.4483/41.1268 Exempt Electrical Engineer II 32.9968/47.6559 Exempt Emergency Management Deputy Director 24.4553/36.9584 Exempt Emergency Management Director 34.8053/52.5845 Exempt Engineer I – Public Works 30.9998/43.6156 Exempt Engineer I – WWTP 30.9998/43.6156 Exempt Engineering Technician - WWTP 20.5756/29.0698 40 hrs/week Grand Island Council Session - 10/13/2015 Page 80 / 175 ORDINANCE NO. 9560(Cont.) - 3 - Classification Hourly Pay Range Min/Max Overtime Eligibility Equipment Operator - Solid Waste 17.6593/26.2408 40 hrs/week Finance Director 40.3733/63.5433 Exempt Finance Operations Supervisor 21.4328/30.3065 Exempt Fire Chief 38.9843/61.0493 Exempt Fire EMS Division Chief 34.5645/48.9259 Exempt Fire Operations Division Chief 34.5645/48.9259 Exempt Fire Prevention Division Chief 34.4808/46.9413 Exempt Fleet Services Shop Foreman 23.2034/34.9990 40 hrs/week GIS Coordinator - PW 25.8244/39.2199 40 hrs/week Golf Course Superintendent 24.8718/35.8958 Exempt Grounds Management Crew Chief – Cemetery 19.0220/30.1640 40 hrs/week Grounds Management Crew Chief – Parks 20.0248/30.3237 40 hrs/week Human Resources Director 35.1215/52.0396 Exempt Human Resources Benefits/Risk Mgmt Coordinator 20.8994/33.9014 40 hrs/week Human Resources Recruiter 20.8994/33.9014 40 hrs/week Human Resources Specialist 20.8994/33.9014 40 hrs/week Information Technology Manager 34.8074/55.1841 Exempt Legal Secretary 20.6847/27.9549 40 hrs/week Librarian I 18.7455/26.3274 Exempt Librarian II 20.7590/29.5255 Exempt Library Assistant I 12.6595/18.2957 40 hrs/week Library Assistant II 15.6447/22.1478 40 hrs/week Library Assistant Director 31.5904/49.4024 Exempt Library Director 39.7504/58.9620 Exempt Library Page 8.2000/11.6159 40 hrs/week Library Secretary 15.7519/22.3860 40 hrs/week Maintenance Worker – Golf 15.6208/24.9970 40 hrs/week Meter Reader Supervisor 19.2174/28.0738 Exempt MPO Program Manager 24.7948/36.8559 Exempt Office Manager – Police Department 17.9564/26.4955 40 hrs/week Parks and Recreation Director 38.4511/60.0943 Exempt Parks Superintendent 27.2713/41.6346 Exempt Payroll Specialist 18.7997/28.1091 40 hrs/week Planning Director 37.6723/57.6708 Exempt Police Captain 34.9429/49.7333 Exempt Grand Island Council Session - 10/13/2015 Page 81 / 175 ORDINANCE NO. 9560(Cont.) - 4 - Classification Hourly Pay Range Min/Max Overtime Eligibility Police Chief 42.1654/61.0493 Exempt Power Plant Maintenance Supervisor 31.5808/44.6375 Exempt Power Plant Operations Supervisor 35.6296/50.2981 Exempt Power Plant Superintendent – Burdick 38.2626/54.3581 Exempt Power Plant Superintendent – PGS 44.1110/62.6376 Exempt Public Information Officer 26.1389/39.4498 Exempt Public Works Director 40.8216/63.4845 Exempt Public Works Engineer 32.3635/46.7971 Exempt Receptionist 15.7641/24.1323 40 hrs/week Recreation Coordinator 20.5951/30.9711 Exempt Recreation Superintendent 31.4938/47.9823 Exempt Regulatory and Environmental Manager 31.0686/45.7759 Exempt Senior Electrical Engineer 36.1078/52.1496 Exempt Senior Public Safety Dispatcher 18.8259/24.8656 40 hrs/week Senior Utility Secretary 16.0493/22.9174 40 hrs/week Shooting Range Superintendent 25.2951/39.5535 Exempt Solid Waste Division Clerk - Full Time 18.6018/22.8997 40 hrs/week Solid Waste Division Clerk - Part Time 16.5628/20.7941 40 hrs/week Solid Waste Foreman 21.2589/30.4054 40 hrs/week Solid Waste Superintendent 30.2660/46.2916 Exempt Street Superintendent 27.9816/42.5650 Exempt Street Foreman 22.6046/34.1031 40 hrs/week Turf Management Specialist 22.3531/31.6433 40 hrs/week Utilities Director 72.3810/96.4843 Exempt Utility Production Engineer 36.9261/54.4330 Exempt Utility Warehouse Supervisor 25.1009/35.8566 40 hrs/week Victim Assistance Unit Coordinator 14.8356/22.1980 40 hrs/week Victim/Witness Advocate 13.5989/20.3476 40 hrs/week Wastewater Plant Chief Operator 23.0656/31.4978 40 hrs/week Wastewater Plant Engineer 33.6168/48.9736 Exempt Wastewater Plant Operations Engineer 32.3635/46.2278 Exempt Wastewater Plant Maintenance Supervisor 24.9808/33.6386 40 hrs/week Wastewater Plant Regulatory Compliance Manager 26.5131/37.8945 Exempt Water Superintendent 30.5735/45.3774 Exempt Water Supervisor 24.1795/35.0998 40 hrs/week Grand Island Council Session - 10/13/2015 Page 82 / 175 ORDINANCE NO. 9560(Cont.) - 5 - Classification Hourly Pay Range Min/Max Overtime Eligibility Worker / Seasonal 8.0000/20.0000 Exempt Worker / Temporary 8.0000/20.0000 40 hrs/week A shift differential of $0.25 per hour shall be added to the base hourly wage for persons in the employee classification Senior Public Safety Dispatcher who work a complete shift any hours or portion thereof that begins between 3:00 p.m. and 11:00 p.m. Employees who work full shifts any hours or portion thereof from 11:00 p.m. to 7:00 a.m. will receive a shift differential of $0.25 per hour. This does not include persons who work the day shift. Shift differential will only be paid for actual hours worked. Paid leave will not qualify for the shift differential pay. SECTION 2. The currently occupied classifications of employees of the City of Grand Island included under the AFSCME labor agreement, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the AFSCME labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Equipment Operator – Streets 17.6592/26.1596 40 hrs/week Fleet Services Mechanic 19.8687/29.4370 40 hrs/week Horticulturist 19.6840/29.2153 40 hrs/week Maintenance Worker – Cemetery 16.9683/25.1576 40 hrs/week Maintenance Worker – Parks 16.7768/24.8881 40 hrs/week Maintenance Worker – Streets 16.6527/24.6864 40 hrs/week Senior Equipment Operator – Streets 19.0833/28.3039 40 hrs/week Senior Maintenance Worker – Streets 18.9955/28.1736 40 hrs/week Traffic Signal Technician 18.9078/28.0436 40 hrs/week Grand Island Council Session - 10/13/2015 Page 83 / 175 ORDINANCE NO. 9560(Cont.) - 6 - SECTION 3. The currently occupied classifications of employees of the City of Grand Island included under the IBEW labor agreements, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the IBEW labor agreements shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Accounting Clerk 16.5539/21.9059 40 hrs/week Cashier 15.4142/21.0044 40 hrs/week Custodian 16.8533/19.9014 40 hrs/week Electric Distribution Crew Chief 32.2470/41.0121 40 hrs/week Electric Underground Crew Chief 32.2470/41.0121 40 hrs/week Engineering Technician I 19.7395/28.2435 40 hrs/week Engineering Technician II 24.4019/33.4582 40 hrs/week Instrument Technician 29.9500/39.5665 40 hrs/week Lineworker Apprentice 21.7042/31.8251 40 hrs/week Lineworker First Class 31.6997/37.4917 40 hrs/week Materials Handler 23.4211/31.3954 40 hrs/week Meter Reader 18.1497/23.6678 40 hrs/week Meter Technician 24.4611/30.2316 40 hrs/week Payroll Clerk 16.5539/21.9059 40 hrs/week Power Dispatcher I 28.4126/39.5046 40 hrs/week Power Dispatcher II 29.8421/41.4857 40 hrs/week Power Plant Maintenance Mechanic 28.9972/36.1069 40 hrs/week Power Plant Operator 31.7732/37.0102 40 hrs/week Senior Accounting Clerk 18.5174/24.2563 40 hrs/week Senior Engineering Technician 31.7854/38.8983 40 hrs/week Senior Materials Handler 28.3828/37.0215 40 hrs/week Senior Meter Reader 21.4958/25.5129 40 hrs/week Senior Power Dispatcher 35.5564/48.7934 40 hrs/week Senior Power Plant Operator 34.8313/44.6525 40 hrs/week Senior Substation Technician 38.6369/40.0443 40 hrs/week Senior Water Maintenance Worker 23.7409/31.2614 40 hrs/week Substation Technician 35.7676/37.1874 40 hrs/week Grand Island Council Session - 10/13/2015 Page 84 / 175 ORDINANCE NO. 9560(Cont.) - 7 - Classification Hourly Pay Range Min/Max Overtime Eligibility Systems Technician 31.5213/40.0443 40 hrs/week Tree Trim Crew Chief 29.0629/36.0920 40 hrs/week Utility Electrician 27.8916/36.6549 40 hrs/week Utility Technician 26.9776/37.9478 40 hrs/week Utility Warehouse Clerk 21.0186/25.9320 40 hrs/week Water Maintenance Worker 19.4013/26.8300 40 hrs/week Wireworker I 22.8595/32.3233 40 hrs/week Wireworker II 31.6997/37.4917 40 hrs/week SECTION 4. The currently occupied classifications of employees of the City of Grand Island included under the FOP labor agreement, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the FOP labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Police Officer 20.3647/31.1988 Police Sergeant 25.4884/38.2746 OVERTIME ELIGIBILITY The City has reserved its right to the utilization of the 207(k) FLSA exemption and will implement this as the hours of work effective the first full pay period following the execution of the labor agreement. The pay period for purposes of calculating overtime shall consist of a fourteen (14) day cycle that runs concurrent with the City’s current payroll cycle. For purposes of calculating eligibility for overtime, “hours worked” shall include actual hours worked, vacation, personal leave and holiday hours. Employees shall be eligible for overtime when they exceed their hours scheduled for work in the fourteen (14) day pay cycle with a minimum of Grand Island Council Session - 10/13/2015 Page 85 / 175 ORDINANCE NO. 9560(Cont.) - 8 - eighty (80) hours. There shall also be established for each employee in the bargaining unit a Training and Special Events bank of thirty (30) hours per individual per contract year. Each employee may be scheduled for training or special event duty with a minimum of seven (7) days notice prior to the commencement of the pay period and the training and special events bank hours may be added to the eighty (80) hour, two (2) week pay period up to eighty-six (86) hours and these hours shall not be eligible for overtime. Training and special events hours worked in excess of eighty-six (86) hours in a two week pay period will be eligible for overtime, but will not be subtracted from the Training and Special Events bank. All work completed after eighty (80) hours in a pay period that is performed for work that is funded by grants from parties outside or other than the City of Grand Island, shall be paid overtime for the time worked after eighty (80) hours, if the time is funded at overtime rates by the grant. Any such grant hours are not deducted from the Training and Special Events bank. SECTION 5. The currently occupied classifications of employees of the City of Grand Island included under the IAFF labor agreement, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees included under the IAFF labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Fire Captain 19.3620/26.8470 212 hrs/28 days Firefighter / EMT 14.5913/21.1752 212 hrs/28 days Firefighter / Paramedic 16.4433/23.2233 212 hrs/28 days Life Safety Inspector 22.1598/31.4421 40 hrs/week Shift Commander 23.4973/30.7513 212 hrs/28 days Grand Island Council Session - 10/13/2015 Page 86 / 175 ORDINANCE NO. 9560(Cont.) - 9 - IAFF employees, with the exception of the Life Safety Inspector, will be eligible for overtime pay for hours worked in excess of 212 hours in each 28-day pay period, unless recall or mandatory overtime is required as specified in the IAFF labor agreement. When an employee is assigned as an Apparatus Operator (not including ambulance or service vehicles) for an entire 24 hour shift, the employee will receive an additional fifty cents ($.50) per hour. SECTION 6. The currently occupied classifications of the employees of the City of Grand Island included under the IBEW-WWTP labor agreement, and the ranges of compensation salary and wages, excluding shift differential as provided by contract, to be paid for such classifications, and the number of hours and work period which certain such employees included under the IBEW-WWTP labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Accounting Technician – WWTP 16.6792/23.4693 40 hrs/week Equipment Operator – WWTP 17.6458/24.8295 40 hrs/week Maintenance Mechanic I 18.0428/25.3881 40 hrs/week Maintenance Mechanic II 20.5493/28.9150 40 hrs/week Maintenance Worker – WWTP 18.3529/25.8245 40 hrs/week Wastewater Clerk 14.2480/20.0481 40 hrs/week Wastewater Plant Laboratory Technician 19.3409/27.2145 40 hrs/week Wastewater Plant Operator I 16.8551/23.7171 40 hrs/week Wastewater Plant Operator II 18.8456/26.5178 40 hrs/week Employees covered under the IBEW Wastewater Treatment Plant labor agreement who are regularly scheduled to work swing shift will receive an additional 15 cents ($0.15) per hour; employees who are regularly scheduled to work graveyard shift will receive an additional 25 cents ($0.25) per hour for wages attributable to those shifts. One lead Maintenance Worker Grand Island Council Session - 10/13/2015 Page 87 / 175 ORDINANCE NO. 9560(Cont.) - 10 - covered under the IBEW Wastewater Treatment Plant labor agreement may receive forty dollars ($40) per pay period stipend. SECTION 7. The currently occupied classifications of the employees of the City of Grand Island included under the IBEW-Service/Clerical labor agreement, and the ranges of compensation salary and wages to be paid for such classifications, and the number of hours and work period which certain such employees included under the IBEW-Service/Clerical labor agreement shall work prior to overtime eligibility are as follows: Classification Hourly Pay Range Min/Max Overtime Eligibility Accounting Technician – Streets 17.6953/23.6213 40 hrs/week Accounts Payable Clerk 16.5436/23.9354 40 hrs/week Administrative Assistant 17.9647/25.7664 40 hrs/week Administrative Assistant - Parks 17.4699/24.8277 40 hrs/week Audio Video Technician 17.9640/25.3425 40 hrs/week Building Inspector 21.1769/30.0475 40 hrs/week Building Secretary 16.2724/23.1257 40 hrs/week Community Development Administrator 19.5714/28.1399 40 hrs/week Community Development Specialist 17.9647/25.7664 40 hrs/week Computer Operator 21.6171/28.4170 40 hrs/week Computer Programmer 23.2129/34.0191 40 hrs/week Computer Technician 22.2655/29.2700 40 hrs/week Crime Analyst 19.7328/28.0138 40 hrs/week Electrical Inspector 21.1769/30.0475 40 hrs/week Emergency Management Coordinator 17.4699/24.8277 40 hrs/week Engineering Technician – Public Works 20.8417/29.3937 40 hrs/week Evidence Technician 15.9999/23.4138 40 hrs/week Finance Secretary 16.2724/23.1258 40 hrs/week GIS Coordinator 25.2853/35.4803 40 hrs/week Maintenance Worker I – Building, Library 16.1251/21.8229 40 hrs/week Maintenance Worker II – Building, Police 16.9931/23.0359 40 hrs/week Planning Secretary 16.2724/23.1258 40 hrs/week Planning Technician 22.3861/31.4963 40/hrs/week Plans Examiner 21.6952/30.7830 40 hrs/week Grand Island Council Session - 10/13/2015 Page 88 / 175 ORDINANCE NO. 9560(Cont.) - 11 - Plumbing Inspector 21.1769/30.0475 40 hrs/week Police Records Clerk – Full Time 14.5968/20.3181 40 hrs/week Public Safety Dispatcher 16.0865/23.4979 40 hrs/week Shooting Range Operator 22.2151/30.1130 40 hrs/week Stormwater TechnicianProgram Manager 21.0996/29.7575 40 hrs/week Utility Secretary 16.2724/23.1258 40 hrs/week A shift differential of $0.15 per hour shall be added to the base hourly wage for persons in the employee classification Public Safety Dispatcher who work a complete shift that beginsany hours or a portion thereof between 3:00 p.m. and 11:00 p.m. Employees who work full shiftsany hours or portion thereof from 11:00 p.m. to 7:00 a.m. will receive a shift differential of $0.25 per hour. This does not include persons who work the day shift. Shift differential will only be paid for actual hours worked. Paid leave will not qualify for the shift differential pay. A shift differential of $0.25 per hour shall be added to the base hourly wage for persons who work rotating shifts covered by the IBEW Utilities labor agreement in the employee classifications of Power Dispatcher I, Power Dispatcher II, Power Plant Operator, Senior Power Dispatcher and Senior Power Plant Operator. SECTION 8. The classification of employees included under labor agreements with the City of Grand Island, and the ranges of compensation (salary and wages, excluding shift differential as provided by contract) to be paid for such classifications, and the number of hours and work period which certain such employees shall work prior to overtime eligibility are as stated above. All employees covered by the IAFF labor agreement, except Life Safety Inspector, will be credited five hundred twenty-five dollars ($525) annual credit to be used for the purchase of the uniform item purchases as needed. New hires will receive four hundred dollars ($400) credit for the purchase of initial uniforms. After probation they shall receive an additional five hundred dollars ($500) for the purchase of a Class A uniform or other items as necessary. All Grand Island Council Session - 10/13/2015 Page 89 / 175 ORDINANCE NO. 9560(Cont.) - 12 - employees of the FOP labor agreement shall be paid a clothing and uniform allowance in addition to regular salary of $25.00 per pay period. If any such employee covered by the FOP labor agreements shall resign, or his or her employment be terminated for any reason whatsoever, the clothing allowance shall be paid on a prorata basis, but no allowance shall be made for a fraction of a month. New employees covered by the IBEW – Utilities labor agreement who are required to wear full fire retardant (FR) clothing will be eligible for a one- time reimbursement up to $1,200 to purchase or rent required uniforms. All other employees required to wear full FR clothing will be eligible for reimbursement up to $600 annually. The non-union position of Meter Reader Supervisor who are required to wear full fire retardant clothing will be eligible for an annual stipend of $600 to purchase or rent required uniforms. Those employees who are required to wear partial fire retardant clothing will be eligible for an annual stipend of $350. Employees will be reimbursed for said purchases with a receipt showing proof of purchase. Fire Chief and Fire Division Chiefs shall be paid a clothing allowance of $484.08 per year, divided into 24 pay periods. Police Chief and Police Captains shall be paid a clothing allowance of $650.00 per year, divided into 26 pay periods. Non-union employees and employees covered by the FOP labor agreement, the IAFF labor agreement, the IBEW Utilities, Finance, Service/Clerical and Wastewater Treatment Plant labor agreements may receive an annual stipend not to exceed $1,500 for bilingual pay. Employees covered by the AFSCME labor agreement shall be granted a meal allowance of $4.50 if they are required to work two (2) hours overtime consecutively with their normal working hours during an emergency situation, and if such overtime would normally interfere with and disrupt the employee’s normal meal schedule. Employees covered by the Grand Island Council Session - 10/13/2015 Page 90 / 175 ORDINANCE NO. 9560(Cont.) - 13 - IBEW - Utilities labor agreement shall be allowed a meal allowance for actual cost, or up to $7.00 per meal, if they are required to work two (2) hours overtime consecutively with their normal working hours and if such overtime would normally interfere with and disrupt the employee’s normal meal schedule. Direct supervisors of employees who are covered by labor agreements which allow overtime meal allowance shall be entitled to the same meal allowance benefit. Non-exempt direct supervisors of employees who are covered by labor agreements which allow stand-by pay shall be entitled to the same stand-by pay benefit. Utilities Department personnel in the IBEW bargaining unit and the classifications of Meter Reader Supervisor, Power Plant Superintendent, Power Plant Supervisor, Electric Distribution Superintendent, Electric Distribution Supervisor, Water Superintendent, Water Supervisor, and Electric Underground Superintendent shall be eligible to participate in a voluntary uniform program providing an allowance up to $18.00 per month. When protective clothing is required for Utilities Department and Wastewater Treatment Plant personnel covered by the IBEW labor agreements and employees covered by the AFSCME labor agreement, except the Fleet Services Division of the Public Works Department, the City shall pay 60% of the actual cost of providing and cleaning said clothing and the employees 40% of said cost. Full-time Fleet Services personnel shall receive a uniform allowance of $12 biweekly. Public Works Department personnel in the job classifications of Fleet Services Shop Foreman and Fleet Services Mechanic shall receive a tool allowance of $15 biweekly. The City will reimburse 60% of the actual cost of providing up to 2 pairs of steel toe or safety toe boots that meets the ANSI standard per contract year for employees covered by the IBEW Wastewater Treatment Plant labor agreement. Grand Island Council Session - 10/13/2015 Page 91 / 175 ORDINANCE NO. 9560(Cont.) - 14 - SECTION 9. Employees shall be compensated for unused medical leave as follows: (A) All employees covered in the IBEW Utilities labor agreements shall be paid for forty-seven percent (47%) of their accumulated medical leave at the time of their retirement, early retirement, or death, not to exceed four hundred eighty- eight and one third hours (calculated at 47% x 1,039 hours = 488.33 hours), the rate of compensation to be based on the employee’s salary at the time of retirement or death. Employees covered in the IAFF labor agreement, with the exception of Life Safety Inspector, shall have a contribution to a VEBA made on their behalf in lieu of payment for thirty-eight percent (38%) of their accumulated medical leave at the time of their retirement, not to exceed five hundred ninety- eight and eighty-eight hundredths hours (calculated at 38% x 1,576 hours = 598.88 hours). The Life Safety Inspector shall have a contribution to a VEBA made on their behalf in lieu of payment for fifty percent (50%) of their accumulated medical leave at the time of their retirement, not to exceed five hundred forty-two hours (calculated at 50% x 1,084 = 542). The amount of contribution will be based upon the employee’s salary at the time of retirement. Employees covered by the IBEW Service/Clerical, IBEW Finance, and IBEW Wastewater Treatment Plant labor agreements shall have a contribution to a VEBA made on their behalf in lieu of payment for twenty-five percent (25%) of their accumulated medical leave at the time of retirement or death, based on the employee’s salary at the time of retirement not to exceed 334.75 hours (calculated at 25% x 1,339 hours = 334.75 hours.) Non-union employees shall have a Grand Island Council Session - 10/13/2015 Page 92 / 175 ORDINANCE NO. 9560(Cont.) - 15 - contribution to a VEBA made on their behalf in lieu of payment for fifty percent (50%) of their accumulated medical leave at the time of their retirement, not to exceed five hundred forty-two hours (calculated at 50% x 1,084 = 542). The amount of contribution will be based upon the employee’s salary at the time of retirement. Employees hired before October 1, 2014 covered by the AFSCME labor agreement shall be paid thirty-five (35%) of their accumulated medical leave bank at the time of their retirement, based on the employee’s salary at the time of retirement not to exceed four hundred sixty-eight and sixty-five hundredths hours (calculated at 35% x 1339 hours = 468.65 hours). Employees hired on or after October 1, 2014, covered by the AFSCME labor agreement will not receive compensation at retirement for unused medical leave. All employees covered under the FOP labor agreement shall be paid thirty-seven and one-half percent (37.5%) of their accumulated medical leave bank at the time of their retirement, not to exceed four hundred eighty hours (calculated at 37.5% x 1,280 hours = 480 hrs.), based on the employee’s salary at the time of retirement. If death occurs while in the line of duty, employees covered under the FOP labor agreement shall be paid fifty percent (50%) of their accumulated medical leave bank at the time of their death, not to exceed six hundred forty hours (50% x 1,280 hours = 640 hrs.), based on the employee’s salary at the time of their death. (B) The City Administrator and department heads shall have a contribution made to their VEBA for one-half of their accumulated medical leave, not to exceed 30 days of pay, upon their resignation, the rate of compensation to be Grand Island Council Session - 10/13/2015 Page 93 / 175 ORDINANCE NO. 9560(Cont.) - 16 - based upon the salary at the time of termination. Compensation for unused medical leave at retirement shall be as provided for non-union employees. (C) The death of an employee shall be treated the same as retirement, and payment shall be made to the employee’s beneficiary or estate for one-half of all unused medical leave for non-union employees and as defined in labor agreements for all other employees. SECTION 10. Non-union employees shall have a contribution made on their behalf to their VEBA account in the amount of $30.00 per pay period. Employees represented by the IBEW Service/Clerical, IBEW Wastewater Treatment Plant, and IBEW Finance labor agreements shall have a contribution made on their behalf to the VEBA account of $15 per pay period. Employees represented by the IBEW Utilities labor agreement shall have a contribution made on their behalf to their VEBA account in the amount of $20.00 per pay period. Employees represented by the IAFF labor agreement shall have a contribution made on their behalf to the VEBA account of $10 per pay period. SECTION 11. The validity of any section, subsection, sentence, clause, or phrase of this ordinance shall not affect the validity or enforceability of any other section, subsection, sentence, clause, or phrase thereof. SECTION 12.The adjustments identified herein shall be effective on the date of passage and publication in pamphlet form in one issue of the Grand Island Independent as provided by law effective. October 5, 2015. SECTION 13. Those portions of Ordinance No. 9549 and all other parts of ordinances in conflict herewith be, and the same are, hereby repealed. Grand Island Council Session - 10/13/2015 Page 94 / 175 ORDINANCE NO. 9560(Cont.) - 17 - Enacted: October 13, 2015 ____________________________________ Jeremy L. Jensen, Mayor Attest: ________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 95 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-1 Approving Minutes of September 22, 2015 City Council Regular Meeting Staff Contact: RaNae Edwards Grand Island Council Session - 10/13/2015 Page 96 / 175 CITY OF GRAND ISLAND, NEBRASKA MINUTES OF CITY COUNCIL REGULAR MEETING September 22, 2015 Pursuant to due call and notice thereof, a Regular Meeting of the City Council of the City of Grand Island, Nebraska was conducted in the Council Chambers of City Hall, 100 East First Street, on September 22, 2015. Notice of the meeting was given in The Grand Island Independent on September 16, 2015. Mayor Jeremy L. Jensen called the meeting to order at 7:00 p.m. The following City Council members were present: Mitch Nickerson, Mark Stelk, Chuck Haase, Julie Hehnke, Linna Dee Donaldson, Michelle Fitzke, Vaughn Minton, Roger Steele, and Mike Paulick. Councilmember Jeremy Jones was absent. The following City Officials were present: City Administrator Marlan Ferguson, City Clerk RaNae Edwards, Interim Finance Director William Clingman, City Attorney Robert Sivick, and Public Works Director John Collins. Mayor Jensen introduced Community Youth Council member Hunter Moural and board member Ramona Otto. INVOCATION was given by Pastor John Hayes, Grace Baptist Church, 1115 South Vine Street followed by the PLEDGE OF ALLEGIANCE. BOARD OF EQUALIZATION: Motion by Donaldson, second by Haase to adjourn to the Board of Equalization. Motion adopted. #2015-BE-8 - Consideration of Determining Benefits for Water Main District 414T - Starlite Subdivision Lots 1 & 2. Utilities Director Tim Luchsinger reported that Water Main District 414T was built in 1994 as a tap district. Since then a portion of farm land had been subdivided into Starlite Subdivision consisting of two lots. Staff recommended the connection fee be proportionally split between the two lots. Motion by Haase, second by Paulick to approve Resolution #2015-BE-8. Upon roll call vote, all voted aye. Motion adopted. #2015-BE-9 - Consideration of Determining Benefits and Levy Special Assessments for Webb Road Street Improvement District No. 1260; South Webb Road Extending North from Stolley Park Road to Union Pacific Railroad Tracks. Public Works Director John Collins reported that work on Street Improvement District No. 1260 had been completed and cost for the project would be assessed to the adjacent property owners. Total cost of the project was $1,611,703.25. Mary Brenton, 1423 So. Webb Road questioned the assessments. Mark Stauss, 233 Redwood Road spoke in opposition. Mr. Collins commented on the assessment process and project over runs. City Attorney Robert Sivick explained the costs were assessed to the property owners in the district rather than all the taxpayers of the City. Sanitary sewer for this district was mentioned. Grand Island Council Session - 10/13/2015 Page 97 / 175 Page 2, City Council Regular Meeting, September 22, 2015 Motion by Nickerson, second by Minton to approve Resolution #2015-BE-9. Upon roll call vote, Councilmembers Steele, Minton, Fitzke, Donaldson, Hehnke, Haase, Stelk, and Nickerson voted aye. Councilmember Paulick voted no. Motion adopted. RETURN TO REGULAR SESSION: Motion by Donaldson, second by Fitzke to return to Regular Session. Motion adopted. PUBLIC HEARINGS: Public Hearing on Acquisition of Utility Easement - 1203 S. Stuhr Road - Midland Ag Service, Inc.). Utilities Director Tim Luchsinger reported that acquisition of a utility easement located at 1203 S. Stuhr Road was needed in order to have access to install, upgrade, maintain, and repair power appurtenances, including lines and transformers. Verizon Wireless has recently constructed a new cell tower and equipment building located east of the Stuhr Road – Fonner Park Road intersection. In order to serve their facilities, the Utilities Department needed to acquire an easement for operation, maintenance, and access of primary underground power lines, a pad-mount transformer, and related electrical appurtenances. Staff recommended approval. No public testimony was heard. Public Hearing on Acquisition of Utility Easement - 1911 Diers Avenue – Fugate. Utilities Director Tim Luchsinger reported that acquisition of a utility easement located at 1911 Diers Avenue was needed in order to have access to install, upgrade, maintain, and repair power appurtenances, including lines and transformers. The Taco Bell restaurant located at the northeast corner of State Street and Diers Avenue is being completely rebuilt. In order to serve the new facilities, the Utilities Department needed to acquire an easement for operation, maintenance, and access of primary underground power lines, a pad-mount transformer, and related electrical appurtenances. Staff recommended approval. No public testimony was heard. Public Hearing on Request to Rezone Property located at 2228 North Webb Road from CD Commercial Development to Amended CD Commercial Development (Grand Island Joint Venture, LLC). Regional Planning Director Chad Nabity reported that the developers were requesting changes to the plan as approved to accommodate marketing opportunities and enhance the appearance of this property from the U.S. Highway 281 side. Staff recommended approval. No public testimony was heard. Public Hearing on the Annual Report by the Grand Island Area Economic Development Corporation/Citizen Advisory Review Committee on the Economic Development Program Plan. Dehn Renter, President of the Citizen Advisory Review Committee (CARC) stated the CARC had met and recommended approval of the EDC Annual Report. Dave Taylor, president of Grand Island Area Economic Development Corporation (GIAEDC) gave the annual report. Staff recommended approval. No public testimony was heard. Public Hearing on Acquisition of Public Utility Easement for the North Interceptor Phase II; Sanitary Sewer Project No. 2013-S-4(Grudzinski & Solorzano). Public Works Director John Collins reported that acquisition of public utility easements were needed for the North Interceptor Phase II in order to replace aged force main sanitary sewer, reduce or eliminate current sewer pumping station(s), and provide additional capacity for existing and new growth areas of Grand Island. These easements would allow for the construction, operation, Grand Island Council Session - 10/13/2015 Page 98 / 175 Page 3, City Council Regular Meeting, September 22, 2015 maintenance, extension, repair, replacement, and removal of public utilities within the easements. Staff recommended approval. No public testimony was heard. ORDINANCES: Councilmember Donaldson moved “that the statutory rules requiring ordinances to be read by title on three different days are suspended and that ordinances numbered: #9558 - Consideration of Request to Rezone Property located at 2228 North Webb Road from CD Commercial Development to Amended CD Commercial Development (Grand Island Joint Venture, LLC) #9559 - Consideration of Assessments for Webb Road Street Improvement District No. 1260; South Webb Road Extending North from Stolley Park Road to Union Pacific Railroad Tracks be considered for passage on the same day upon reading by number only and that the City Clerk be permitted to call out the number of these ordinances on second reading and then upon final passage and call for a roll call vote on each reading and then upon final passage.” Councilmember Nickerson seconded the motion. Upon roll call vote, all voted aye. Motion adopted. #9558 - Consideration of Request to Rezone Property located at 2228 North Webb Road from CD Commercial Development to Amended CD Commercial Development (Grand Island Joint Venture, LLC) Motion by Paulick, second by Stelk to approve Ordinance #9558. City Clerk: Ordinance #9558 on first reading. All those in favor of the passage of this ordinance on first reading, answer roll call vote. Upon roll call vote, all voted aye. Motion adopted. City Clerk: Ordinance #9558 on second and final reading. All those in favor of the passage of this ordinance on second and final reading, answer roll call vote. Upon roll call vote, all voted aye. Motion adopted. Mayor Jensen: By reason of the roll call votes on first reading and then upon second and final readings, Ordinance #9558 is declared to be lawfully adopted upon publication as required by law. #9559 - Consideration of Assessments for Webb Road Street Improvement District No. 1260; South Webb Road Extending North from Stolley Park Road to Union Pacific Railroad Tracks Motion by Minton, second by Donaldson to approve Ordinance #9559. City Clerk: Ordinance #9559 on first reading. All those in favor of the passage of this ordinance on first reading, answer roll call vote. Upon roll call vote, Councilmembers Steele, Minton, Fitzke, Donaldson, Hehnke, Stelk, and Nickerson voted aye. Councilmember Paulick voted no. Motion adopted. Grand Island Council Session - 10/13/2015 Page 99 / 175 Page 4, City Council Regular Meeting, September 22, 2015 City Clerk: Ordinance #9559 on second and final reading. All those in favor of the passage of this ordinance on second and final reading, answer roll call vote. Upon roll call vote, Councilmembers Steele, Minton, Fitzke, Donaldson, Hehnke, Stelk, and Nickerson voted aye. Councilmember Paulick voted no. Motion adopted. Mayor Jensen: By reason of the roll call votes on first reading and then upon second and final readings, Ordinance #9559 is declared to be lawfully adopted upon publication as required by law. CONSENT AGENDA: Consent agenda items G-14 (#2015-258), G-18 (#2015-262) and G-22 (#2015-266) were removed for further discussion. Motion by Stelk, second by Hehnke to approve the Consent Agenda. Upon roll call vote, all voted aye. Motion adopted. Approving Minutes of September 8, 2015 City Council Meeting. Approving Minutes of September 15, 2015 City Council Study Session. Receipt of Official Document – Tort Claim filed by Dumale Bariyiga. Approving Re-Appointments of Dehn Renter, Jeff Vinson, and Tim White to the Citizens Advisory Review Committee Board. Approving Re-Appointment of Glen Murray to the Community Redevelopment Authority Board. Approving Garbage Permits for Heartland Disposal and Mid-Nebraska Disposal, Inc. and Refuse Permits for Full Circle Rolloffs and O’Neill Transportation and Equipment LLC. #2015-251 - Approving Final Plat and Subdivision Agreement for Grand Island Mall 18th Subdivision. It was noted that Grand Island Joint Ventures, LLC, owners, had submitted the Final Plat and Subdivision Agreement for Grand Island Mall 18th Subdivision for the purpose of creating 7 lots located north of State Street and east of US Highway 281 consisting of 16.43 acres. #2015-252 - Approving Municipal Advisory Services Agreement with Smith Hayes Financial Services Corporation in an Amount of $5,000 Annually. #2015-253 - Approving Acquisition of Utility Easement located at 1203 S. Stuhr Road (Midland Ag Service, Inc.). #2015-254 - Approving Acquisition of Utility Easement located at 1911 Diers Avenue (J. Larry Fugate Revocable Trust). #2015-255 - Approving Bid Award for Purchase of Sulfuric Acid with Telemetry Program at Platte Generating Station with Univar of Omaha, NE in an Estimated Amount of $65,575.92. #2015-256 - Approving Renewable Energy Credit Agreement with Nebraska City, Nebraska. Grand Island Council Session - 10/13/2015 Page 100 / 175 Page 5, City Council Regular Meeting, September 22, 2015 #2015-257 - Approving Renewable Energy Credit Agreement with Neligh, Nebraska. #2015-258 - Approving First Amendment to the License Agreement with Unite Private Network. Motion by Haase, second by Hehnke to discuss this item on October 6, 2015 Study Session and take action on October 13, 2015. Upon roll call vote, all voted aye. Motion adopted. #2015-259 - Approving Acquisition of Public Utility Easement for the North Interceptor Phase II; Sanitary Sewer Project No. 2013-S-4(Grudzinski & Solorzano). #2015-260 - Approving Temporary Construction Easement for the North Interceptor Phase II; Sanitary Sewer Project No. 2013-S-4 (Grudzinski & Solorzano). #2015-261 - Approving Certificate of Final Completion with Galvan Construction, Inc. of Grand Island, NE for Water Service Lowering at 219 East Charles Street and Scheduling the Board of Equalization for October 27, 2015. #2015-262 - Approving Designating Loading Zone in Front of 363 North Cleburn Street. Gene Rossenberg, 363 North Cleburn Street spoke in support. Motion by Donaldson, second by Nickerson to approve Resolution #2015-262. Upon roll call vote, all voted aye. Motion adopted. #2015-263 - Approving Designation of Sole Source for Return Activated Sludge (RAS) Pumps at the Waste Water Treatment Plant with Pentair/Fairbanks-Nijhuis of Omaha, NE in an Amount of $198,697.00. #2015-264 - Approving Request from the GRACE Foundation for Permission to Use City Streets and State Highway for the 2016 10K Race and 2-Mile Family Fun Run. #2015-265 - Approving Bid Award for CDBG Revitalization Fund -The Chocolate Bar with Fox Construction, Inc. of Grand Island, NE in an Amount of $151,700.00. #2015-266 - Approving Affirmation of Utilities Customer Service Center Plan for 1306 West 3rd Street. Discussion was held regarding drainage issues in the parking lot and a drive up window. Motion by Nickerson, second by Minton to approve Resolution #2015-266. Upon roll call vote, Councilmembers Steele, Minton, Fitzke, Donaldson, Hehnke, Haase, Stelk, and Nickerson voted aye. Councilmember Paulick voted no. Motion adopted. RESOLUTIONS: #2015-267 - Consideration of Approving the Annual Report by the Grand Island Area Economic Development Corporation/Citizen Advisory Review Committee on the Economic Development Program Plan. This item was related to the aforementioned Public Hearing. Citizens Review Advisory Committee (CRAC) Chairman Dehn Renter introduced this item and stated the committee had approved the annual report. Grand Island Council Session - 10/13/2015 Page 101 / 175 Page 6, City Council Regular Meeting, September 22, 2015 Motion by Minton, second by Paulick to approve Resolution #2015-267. Upon roll call vote, all voted aye. Motion adopted. #2015-268 - Consideration of Approving Funding for the Grand Island Area Economic Development Corporation. Economic Development President Dave Taylor presented the application for funding $350,000 to the Grand Island Area Economic Development Corporation. Requested were the financial statements from GIAEDC. Motion by Hehnke, second by Donaldson to approve Resolution #2015-268. Upon roll call vote, all voted aye. Motion adopted. #2015-269 - Consideration of Assessments for Water Main District 414T - Starlite Subdivision Lots 1 & 2. This item was related to the aforementioned Public Hearing. Motion by Donaldson, second by Fitzke to approve Resolution #2015-269. Upon roll call vote, all voted aye. Motion adopted. #2015-270 - Consideration of Approving Agreement with the Clean Community System. City Attorney Robert Sivick reported that the 2015-2016 annual budget appropriated $30,000 to the Grand Island Area Clean Community System. This agreement was needed to specify the obligations of each party and payment terms. Executive Director Denise McGovern-Gallagher presented a PowerPoint outlining the work of the Grand Island Area Clean Community System. Mentioned was that there was no glass collection in the City. Lincoln and Omaha were the only two areas that collected glass at this time. Motion by Haase, second by Nickerson to approve Resolution #2015-270. Upon roll call vote, all voted aye. Motion adopted. PAYMENT OF CLAIMS: Motion by Donaldson, second by Hehnke to approve the Claims for the period of September 9, 2015 through September 22, 2015, for a total amount of $7,101.763.90. Unanimously approved. ADJOURNMENT: The meeting was adjourned at 8:50 p.m. RaNae Edwards City Clerk Grand Island Council Session - 10/13/2015 Page 102 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-2 Approving Minutes of October 6, 2015 City Council Study Session Staff Contact: RaNae Edwards Grand Island Council Session - 10/13/2015 Page 103 / 175 CITY OF GRAND ISLAND, NEBRASKA MINUTES OF CITY COUNCIL STUDY SESSION October 6, 2015 Pursuant to due call and notice thereof, a Study Session of the City Council of the City of Grand Island, Nebraska was conducted in the Council Chambers of City Hall, 100 East First Street, on October 6, 2015. Notice of the meeting was given in the Grand Island Independent on September 30, 2015. Mayor Jeremy L. Jensen called the meeting to order at 7:00 p.m. The following Councilmembers were present: Mitch Nickerson, Mark Stelk, Chuck Haase, Julie Hehnke, Michelle Fitzke, Vaughn Minton, and Roger Steele. The following Councilmembers were absent: Linna Dee Donaldson, Jeremy Jones, and Mike Paulick. The following City Officials were present: City Administrator Marlan Ferguson, Assistant to the City Administrator Nicki Stoltenberg, Interim Finance Director William Clingman, City Attorney Robert Sivick, and Public Works Director John Collins. INVOCATION was given by Mayor Jensen followed by the PLEDGE OF ALLEGIANCE. Tom O’Neill, 2017 Barbara Ave., requested to speak on Item 1. SPECIAL ITEM: Presentation on First Amendment to the License Agreement with Unite Private Network (UPN). Tim Luchsinger, Utilities Director presented the following items as part of the Pole Attachment License Agreement Amendment presentation: License Agreements Provide for Conditions of Use of Public Right-of-Way; All Cable and Telecommunication Providers are Allowed Attachments to Utility Poles Through License Agreements; FCC Communications Act, Sections 224 & 253; Summary of Pole Attachment License Fees of which approx. $50,000 in 2015; Typical Pole Arrangements photos; UPN Proposed Arrangement photo; Annual Pole Attachment charge. GIUD vs OPPD (Omaha) and LES (Lincoln); and Standard Residential Right-of-Way arrangement street section graphic; both above and underground. Tom O’Neill applauded the efforts of the Grand Island Utilities Department, but suggested that the City’s Right-of-Way agreements be reviewed. Comments were made by Council regarding UPN and the pole attachment fees. Tim Luchsinger answered questions concerning the pole attachment fees. Grand Island Council Session - 10/13/2015 Page 104 / 175 Page 2, City Council Study Session, October 6, 2015 ADJOURNMENT: The meeting was adjourned at 7:25 p.m. Nicki Stoltenberg Assistant to the City Administrator Grand Island Council Session - 10/13/2015 Page 105 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-3 #2015-271 - Approving Final Plat and Subdivision Agreement for Concept Third Subdivision Staff Contact: Chad Nabity Grand Island Council Session - 10/13/2015 Page 106 / 175 Council Agenda Memo From: Chad Nabity, Regional Planning Commission Meeting: October 13, 2015 Subject: Concept Third Subdivision – Final Plat Presenter(s): Chad Nabity, Regional Planning Commission Background This property located south of 4th Street and east of Taft Ave., in the City Of Grand Island, in Hall County, Nebraska, consisting of 12.5469 acres and (3 Lots). Discussion The plat for Concept Third Subdivision was considered by the Regional Planning Commission at the October 7, 2015 meeting. A motion was made by Bredthauer and seconded by Kjar to approve the plat as presented. A roll call vote was taken and the motion passed with 10 members present and voting in favor (Kjar, Haskins, Connick, Maurer, Robb, O’Neill, Ruge, Sears, Bredthauer and Monter) and no members abstaining Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1. Move to approve 2. Refer the issue to a Committee 3. Postpone the issue to future date 4. Take no action on the issue Recommendation City Administration recommends that the Council approve the final plat as presented. Grand Island Council Session - 10/13/2015 Page 107 / 175 Sample Motion Move to approve as recommended. Grand Island Council Session - 10/13/2015 Page 108 / 175 Grand Island Council Session - 10/13/2015 Page 109 / 175 MTR Services, Inc a Nebraska Corporation Kip M Rowe, President Developers/Owners To create 3 lots on a tract of land south of 4th Street and east of Taft Ave., in the City of Grand Island, in Hall County, Nebraska. Size: 12.5469 acres. Zoning: M2 – Heavy Manufacturing Zone Road Access: City Streets Water Public: City Water Sewer Public: City Sewer Grand Island Council Session - 10/13/2015 Page 110 / 175 September 22, 2015 Dear Members of the Board: RE: Final Plat – Concept Third Subdivision For reasons of Section 19-923 Revised Statues of Nebraska, as amended, there is herewith submitted a final plat of Concept Third Subdivision, located in the City of Grand Island, in Hall County Nebraska. This final plat proposes to create 3 lots, a tract of land comprising all of Lot One (1), Concept Second Subdivision in the City of Grand Island, in Hall County, Nebraska, said tract containing 12.547 acres. You are hereby notified that the Regional Planning Commission will consider this final plat at the next meeting that will be held at 6:00 p.m. on October 7, 2015 in the Council Chambers located in Grand Island's City Hall. Sincerely, Chad Nabity, AICP Planning Director Cc: City Clerk City Attorney City Public Works City Building Department City Utilities Manager of Postal Operations Benjamin & Associates, Inc. This letter was sent to the following School Districts 1R, 2, 3, 19, 82, 83, 100, 126. Grand Island Council Session - 10/13/2015 Page 111 / 175 Grand Island Council Session - 10/13/2015 Page 112 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015 - 271 WHEREAS MTR Services, Inc., a Nebraska Corporation, being the owner of the land described hereon, have caused same to be surveyed, subdivided, platted and designated as “CONCEPT THIRD SUBDIVISION”, to be laid out into 3 lots, on a tract of land, comprising all of Lot One (1), Concept Second Subdivision in the City of Grand Island, Nebraska and containing 12.547 acres, West of the 6th P.M., in the City of Grand Island, Hall County, Nebraska, and has caused a plat thereof to be acknowledged by it; and WHEREAS, a copy of the plat of such subdivision has been presented to the Boards of Education of the various school districts in Grand Island, Hall County, Nebraska, as required by Section 19-923, R.R.S. 1943; and WHEREAS, a form of subdivision agreement has been agreed to between the owner of the property and the City of Grand Island. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the form of subdivision agreement hereinbefore described is hereby approved, and the Mayor is hereby authorized to execute such agreement on behalf of the City of Grand Island. BE IT FURTHER RESOLVED that the final plat of CONCEPT THIRD SUBDIVISION, as made out, acknowledged, and certified, is hereby approved by the City Council of the City of Grand Island, Nebraska, and the Mayor is hereby authorized to execute the approval and acceptance of such plat by the City of Grand Island, Nebraska. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 113 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-4 #2015-272 - Approving Acquisition of Utility Easement - 2710 N. North Road - Northwest High School This item relates to the aforementioned Public Hearing item E-1. Staff Contact: Tim Luchsinger, Utilities Director Grand Island Council Session - 10/13/2015 Page 114 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-272 WHEREAS, a public utility easement is required by the City of Grand Island from The Class 6 School District of Hall and Merrick Counties, Nebraska, A.K.A. Northwest High School, to survey, construct, inspect, maintain, repair, replace, relocate, extend, remove, and operate thereon, public utilities and appurtenances, including lines and transformers; and; WHEREAS, a public hearing was held on October 13, 2015 for the purpose of discussing the proposed acquisition of a 16 ft. utility easement located in the City of Grand Island, Hall County, Nebraska; and more particularly described as follows: Commencing at the Northeast corner of the Southeast Quarter (SE1/4) of Section Two (2), Township Eleven (11) North, Range Ten (10) West of the 6th P.M., Grand Island, Hall County, Nebraska; thence southerly along the easterly line of said Section Two (2), a distance of one thousand twenty six and four tenths (1,026.4) feet; thence N59°49'W, along the center line of an existing sixteen (16.0) foot wide easement described in Document 85000079, recorded in the Register of Deeds Office, Hall County, Nebraska, a distance of four hundred forty seven and two tenths (447.2) feet; thence N31°30'W, along the center line of said existing sixteen (16.0) foot easement, a distance of one hundred eighty two (182.0) feet; thence N59°15'W, along the center line of said existing sixteen (16.0) foot easement, a distance of two hundred thirty four and seven tenths (234.7) feet to the ACTUAL Point of Beginning; thence continuing N59°15'W, a distance of forty nine and fifty five hundredths (49.55) feet to a point on a center line of an existing easement described in Document 200207656, recorded in the Register of Deeds Office, Hall County, Nebraska, being the point of termination. The above-described easement and right-of-way containing a total of 0.018 acres more or less, as shown on the plat dated 9/21/2015, marked Exhibit "A" attached hereto and incorporated herein by reference, NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the City of Grand Island be, and hereby is, authorized to acquire a public utility easement from The Class 6 School District of Hall and Merrick Counties, Nebraska, A.K.A. Northwest High School, on the above-described tract of land. - - - Grand Island Council Session - 10/13/2015 Page 115 / 175 - 2 - Adopted by the City Council of the City of Grand Island, Nebraska October 13, 2015. ___________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 116 / 175 Grand Island Council Session - 10/13/2015 Page 117 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-5 #2015-273 - Approving First Amendment to the License Agreement with Unite Private Network Staff Contact: Tim Luchsinger, Stacy Nonhof Grand Island Council Session - 10/13/2015 Page 118 / 175 Council Agenda Memo From:Tim Luchsinger, Utilities Director Stacy Nonhof, Assistant City Attorney Meeting:October 13, 2015 Subject:License Agreement Amendment with Unite Private Networks for Power Pole Attachments Presenter(s):Tim Luchsinger, Utilities Director Background On May 12, 2009 a License Agreement was approved by City Council with Unite Private Networks to allow for various utility pole attachments across the City for fiber optic cable installation. This agreement is similar to what is in place with other providers of cable service. Discussion In July, 2015 Unite Private Networks approached the Grand Island Utilities Department about installing several small cell network antennae to utility poles to expand the capacity of their cell network in Grand Island. Similar projects have been completed in Omaha and Lincoln. An amendment to the existing agreement is necessary since this involves equipment that is above and beyond the scope of the original agreement. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1. Move to approve 2. Refer the issue to a Committee 3. Postpone the issue to a future date 4. Take no action on the issue Recommendation City Administration recommends that the Council approve the License Agreement Amendment with Unite Private Networks for Power Pole Attachments. Grand Island Council Session - 10/13/2015 Page 119 / 175 Sample Motion Move to approve the License Agreement Amendment with Unite Private Networks for Power Pole Attachments. Grand Island Council Session - 10/13/2015 Page 120 / 175 Grand Island Council Session - 10/13/2015 Page 121 / 175 Grand Island Council Session - 10/13/2015 Page 122 / 175 Grand Island Council Session - 10/13/2015 Page 123 / 175 Grand Island Council Session - 10/13/2015 Page 124 / 175 Grand Island Council Session - 10/13/2015 Page 125 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-273 WHEREAS, on May 12, 2009 City Council approved a License Agreement with Unite Private Networks to allow for various utility pole attachments across the City for fiber optic cable installation; and WHEREAS, in July, 2015 Unite Private approached Grand Island Utilities concerning the installation of several small cell network antennae to utility poles to expand the capacity of their cell network in Grand Island; and WHEREAS; an amendment to the existing agreement is necessary since this involves equipment that is above and beyond the scope of the original agreement, and WHEREAS; the Legal Department has reviewed and approved the Amendment. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the First Amendment to the License Agreement with Unite Private Network is approved, and the Mayor is hereby authorized to sign the Amendment on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 126 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-6 #2015-274 - Approving Acquisition of Property at 1203 West 4th Street (Donald Enck, Jr. & Ronna Taylor) This item relates to the aforementioned Public Hearing item E-2. Staff Contact: Tim Luchsinger, Stacy Nonhof Grand Island Council Session - 10/13/2015 Page 127 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-274 WHEREAS, the City has an interest in acquiring property located at 1203 W. 4th Street in Grand Island, Nebraska, for the purpose of future utility expansion; and WHEREAS, a public hearing was held on October 13, 2015 for the purpose of discussing the proposed acquisition of property, legally described as follows: Fractional Lot One (1) in Fractional Block Three (3) of Arnold & Abbott’s Addition to the City of Grand Island, Hall County, Nebraska, and its complement: Fractional Lot One (1) in Fractional Block Fourteen (14) of Bonnie Brae Addition to the City of Grand Island, Hall County, Nebraska; and WHEREAS, the purchase price of the property is $21,000.00; and WHEREAS, a Purchase Agreement has been prepared by the City Attorney’s office for such acquisition of property. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNTIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the City of Grand Island is hereby authorized to acquire property located at 1203 W. 4th Street from Donald Enck and Ronna Taylor, joint tenants, as set out in the Purchase Agreement. BE IT FURTHER RESOLVED that the Purchase Agreement for such conveyance of property is hereby approved; and the Mayor is hereby authorized and directed to execute such agreement on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 128 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-7 #2015-275 - Approving Change Order No. 1 for Handicap Ramp Project No. 2015-HC-1 Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 10/13/2015 Page 129 / 175 Council Agenda Memo From:Terry Brown PE, Assistant Public Works Director Meeting:October 13, 2015 Subject:Approving Change Order No. 1 for Handicap Ramp Project No. 2015-HC-1 Presenter(s):John Collins PE, Public Works Director Background The City Council awarded the bid, in the amount of $197,706.81, for construction of handicap ramps at various intersection in the, known as Handicap Ramp Project No. 2015-HC-1, to The Diamond Engineering Co. of Grand Island, Nebraska on April 14, 2015 Resolution No. 2015-93. On May 26, 2015, by Resolution No. 2015-135, City Council approved Change Order No. 1 in the amount of $3,275.00. This change order addressed a box storm sewer that was uncovered at the intersection of Koenig Street and Yund Street and resulted in a total contract amount of $200,981.81. Any changes to the contract require council approval. Discussion Several factors have delayed completion of the project; including inclement weather and scheduling conflicts; therefore The Diamond Engineering is requesting the final completion date be changed from September 30, 2015 to October 30, 2015. There will not be any contract amount increase with this change order. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Grand Island Council Session - 10/13/2015 Page 130 / 175 Recommendation City Administration recommends that the Council approve extending the completion date to October 30, 2015, as noted in Change Order No. 1. Sample Motion Move to approve the resolution. Grand Island Council Session - 10/13/2015 Page 131 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-275 WHEREAS, on April 14, 2015, by Resolution 2015-93, the City Council of the City of Grand Island approved the bid of The Diamond Engineering Co. of Grand Island, Nebraska in the amount of $197,706.81 for construction of handicap ramps at various intersection in the City, known as Handicap Ramp Project No. 2015-HC-1; and WHEREAS, on May 26, 2015, by Resolution No. 2015-135, City Council approved Change Order No. 1 in the amount of $3,275.00 to address a box storm sewer that was uncovered at the intersection of Koenig Street and Yund Street; and WHEREAS, such change order resulted in a total contract amount of $200,981.81; and WHEREAS, the completion of such project has been delayed due to several factors; and WHEREAS, The Diamond Engineering Company has requested an extension from September 30, 2015 to October 30, 2015 in order to complete the project; and WHEREAS, there will not be any contract amount increase with such time extension; and WEREAS, the Public Works Department supports such contract extension. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the Mayor be, and hereby is, authorized and directed to execute Change Order No. 1 between the City of Grand Island and The Diamond Engineering Co. of Grand Island, Nebraska to provide the requested time extension for Handicap Ramp Project No. 2015-HC-1. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 132 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-8 #2015-276 - Approving Bid Award for Snow Removal Services 2015/2016 for the Streets Division of the Public Works Department Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 10/13/2015 Page 133 / 175 Council Agenda Memo From:Shannon Callahan, Streets Superintendent Meeting:October 13, 2015 Subject:Approving Bid Award for Snow Removal Services 2015/2016 for the Streets Division of the Public Works Department Presenter(s):John Collins, Public Works Director Background Snow Removal Services 2015-2016 bid request was advertised on September 12, 2015 and mailed to nine (9) potential bidders. The intent of this contract is to secure prices for equipment and labor to clear snow from City-owned Streets during snow removal operations in the 2015-2016 winter season. Discussion One bid was received and opened on September 29, 2015 A summary of historic bid awards and the current bids submitted are shown below: 2015-2016 BIDSBid Item 2013-2014 Bid Award 2014-2015 Bid Award 2015-2016 Estimate Diamond Engineering Dump Trucks $120.00 $165.00 $130.00 $185.00 Front End Loaders $165.00 $200.00 $175.00 $220.00 Motor Graders $175.00 $220.00 $185.00 $240.00 *Truck (16,000-20,000 GVW) with Plow N/A NO BID $130.00 NO BID *Truck (20,000-35,000 GVW) with Plow N/A NO BID $135.00 NO BID *Pick-up (1 ton) with Plow N/A NO BID $100.00 NO BID Exceptions NONE *New bid item added in 2014-2015. The Streets Division of the Public Works Department and the Purchasing Division of the City Attorney’s Office reviewed all bids received. Grand Island Council Session - 10/13/2015 Page 134 / 175 The estimate for snow removal services is based on historic bid prices and current fuel prices. There are no estimated or guaranteed hours of work for snow removal services since the Streets Division plows only when necessary. There are sufficient funds in Account No. 10033502-85312 for these services. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve awarding the contract for Snow Removal Services 2015-2016 to The Diamond Engineering Company, of Grand Island, Nebraska. Sample Motion Move to approve awarding contract to The Diamond Engineering Company. Grand Island Council Session - 10/13/2015 Page 135 / 175 Purchasing Division of Legal Department INTEROFFICE MEMORANDUM Stacy Nonhof, Purchasing Agent Working Together for a Better Tomorrow, Today BID OPENING BID OPENING DATE:September 29, 2014 at 2:00 p.m. FOR:Snow Removal Services 2015-2016 DEPARTMENT:Public Works ESTIMATE:Dump Trucks for Hauling Snow $130.00 per hour Front End Loaders $175.00 per hour Motor Graders $185.00 per hour Truck w/Plow (16,000-20,000 GVW)$125.00 per hour Truck w/Plow (20,000-35,000 GVW)$135.00 per hour Pick-up w/Plow (1 Ton or larger)$100.00 per hour FUND/ACCOUNT:10033502-85213 PUBLICATION DATE:September 12, 2015 NO. POTENTIAL BIDDERS:9 SUMMARY Bidder:Diamond Engineering Co. Grand Island, NE Exceptions:None Bid Price:Per Hour Dump Trucks:$185.00 per hour Front End Loaders:$220.00 per hour Motor Graders:$240.00 per hour Truck w/Plows (16,000-20,000) No Bid Truck w/Plows (20,000-35,000) No Bid Pick-up w Plow (1 ton) No Bid cc:John Collins, Public Works Director Catrina DeLosh, PW Admin. Assist. Marlan Ferguson, City Administrator Shannon Callahan, Street Supt. Stacy Nonhof, Purchasing Agent William Clingman, Interim Finance Director P1838 Grand Island Council Session - 10/13/2015 Page 136 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-276 WHEREAS, the City Of Grand Island invited sealed bids for Snow Removal Services 2015-2016, according to specifications on file in the office of the Public Works Department; and WHEREAS, on September 29, 2015 one bid was received, opened and reviewed; and WHEREAS, The Diamond Engineering Company of Grand Island, Nebraska, submitted a bid in accordance with terms of the advertisement of the specifications and all other statutory requirements contained therein, such bid being as follows: Cost Per Hour Trucks for Hauling Snow $185.00 per hour Front End Loaders $220.00 per hour Motor Graders $240.00 per hour Truck (16,000-20,000 GVW) with Plow $ NO BID Truck (20,000-35,000 GVW) with Plow $ NO BID Pick-up (1 Ton and larger) with Plow $ NO BID NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the bid of The Diamond Engineering Company of Grand Island, Nebraska for snow removal services in the amounts identified above is hereby approved as the lowest responsible bid submitted. BE IT FURTHER RESOLVED, that a contract between the City and such contractor for such snow removal services be entered into, and the Mayor is hereby authorized and directed to execute such contract on behalf of the City Of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 137 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-9 #2015-277 - Approving Change Order No. 1 for the 2015 Asphalt Resurfacing Project No. 2015-AC-1 Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 10/13/2015 Page 138 / 175 Council Agenda Memo From:Terry Brown PE, Assistant Public Works Director Meeting:October 13, 2015 Subject:Approving Change Order No. 1 for the 2015 Asphalt Resurfacing Project No. 2015-AC-1 Presenter(s):John Collins, Public Works Director Background The City Council awarded the bid, in the amount of $955,830.76, for the 2015 Asphalt Resurfacing Project No. 2015-AC-1, to J.I.L. Asphalt Paving Co. of Grand Island, Nebraska on June 9, 2015 via Resolution No. 2015-146. Any changes to the contract require council approval. Discussion Several factors have delayed completion of the project; including inclement weather and scheduling conflicts with events; therefore J.I.L. Asphalt Paving Co. is requesting the final completion date be changed from October 15, 2015 to November 15, 2015. There will not be any contract amount increase with this change order. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve extending the completion date to November 15, 2015, as noted in Change Order No. 1. Grand Island Council Session - 10/13/2015 Page 139 / 175 Sample Motion Move to approve the resolution. Grand Island Council Session - 10/13/2015 Page 140 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-277 WHEREAS, on June 9, 2015, by Resolution 2015-146, the City Council of the City of Grand Island approved the bid of J.I.L. Asphalt Paving Co. of Grand Island, Nebraska in the amount of $955,830.76 for the 2015 Asphalt Resurfacing Project, known as Project No. 2015-AC-1; and WHEREAS, the completion of such project has been delayed due to several factors; and WHEREAS, J.I.L. Asphalt Paving has requested an extension from October 15, 2015 to November 15, 2015 in order to complete the project; and WHEREAS, there will not be any contract amount increase with such time extension; and WEREAS, the Public Works Department supports such contract extension. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the Mayor be, and hereby is, authorized and directed to execute Change Order No. 1 between the City of Grand Island and J.I.L. Asphalt Paving Co. of Grand Island, Nebraska to provide the requested time extension for the 2015 Asphalt Resurfacing Project No. 2015-AC-1. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 141 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-10 #2015-278 - Approving Contract for Concession Stand Operations for Softball/Baseball Fields Veterans Athletic Field Complex Staff Contact: Todd McCoy Grand Island Council Session - 10/13/2015 Page 142 / 175 Council Agenda Memo From:Todd McCoy, Parks and Recreation Director Meeting:October 13, 2015 Subject:Concession Stand Contract Award Veterans Athletic Field Complex Presenter(s):Todd McCoy, Parks and Recreation Director Background On September 11, 2015 a request for proposals to operate the concession stand at the Veterans Athletic Field Complex was advertised. One proposal was received. The lone proposal came from Rathjen & Son Enterprises, Inc. dba The Snow. Discussion The Snow proposal meets all requirements as stated in the RFP and offers to pay the City 10% of the gross sales for the right to provide the concession services. The Snow has successfully managed the Veterans Complex Concessions since 2012. The adult softball association and other tournament directors have given positive references for The Snow continuing to manage the concession operation. The proposed agreement would expire after three years. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council award the concession rights to Rathjen and Son Enterprises, Inc. dba The Snow. Grand Island Council Session - 10/13/2015 Page 143 / 175 Sample Motion Move to contract with Rathjen and Son Enterprises Inc. dba The Snow for concession stand operation for a three year agreement at the Veterans Athletic Field Complex. Grand Island Council Session - 10/13/2015 Page 144 / 175 Purchasing Division of Legal Department INTEROFFICE MEMORANDUM Stacy Nonhof, Purchasing Agent Working Together for a Better Tomorrow, Today REQUEST FOR PROPOSAL FOR CONCESSION STAND OPERATIONS FOR SOFTBALL/BASEBALL FIELDS VETERANS ATHLETIC FIELD COMPLEX RFP DUE DATE:September 29, 2015 at 4:00 p.m. DEPARTMENT:Parks & Recreation PUBLICATION DATE:September 11, 2015 NO. POTENTIAL BIDDERS:1 SUMMARY OF PROPOSALS RECEIVED The Snow Grand Island, NE cc:Todd McCoy, Parks & Recreations Director Patti Buettner, Parks Admin. Assist. Marlan Ferguson, City Administrator William Clingman, Interim Finance Director Stacy Nonhof, Purchasing Agent P1839 Grand Island Council Session - 10/13/2015 Page 145 / 175 Grand Island Council Session - 10/13/2015 Page 146 / 175 Grand Island Council Session - 10/13/2015 Page 147 / 175 Grand Island Council Session - 10/13/2015 Page 148 / 175 Grand Island Council Session - 10/13/2015 Page 149 / 175 Grand Island Council Session - 10/13/2015 Page 150 / 175 Grand Island Council Session - 10/13/2015 Page 151 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-278 WHEREAS, the Parks and Recreation Department of the City of Grand Island invited sealed proposals for Concession Stand Operations at the Veteran’s Athletic Field Complex; and WHEREAS, on September 29, 2015, one (1) proposal was received and reviewed; and WHEREAS, Rathjen & Son Enterprises, Inc., DBA: The Snow of Grand Island, Nebraska submitted a proposal in accordance with the terms of the advertisement for proposals. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the proposal of Rathjen & Son Enterprises, Inc., DBA: The Snow of Grand Island, Nebraska, is hereby accepted and approved as the lowest responsive proposal submitted, and that the contract by and between the City and the Vendor be and hereby is approved, and the Mayor is authorized to sign such contract on behalf of the City. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 152 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-11 #2015-279 - Approving Purchase of Six (6) New 36” Cut Mowers for the Cemetery Division Staff Contact: Todd McCoy Grand Island Council Session - 10/13/2015 Page 153 / 175 Council Agenda Memo From:Todd McCoy, Parks and Recreation Director Meeting:October 13, 2015 Subject:Bid Award for Six (6) New 36” Cut Mowers for use within the Cemetery Division Presenter(s):Todd McCoy, Parks and Recreation Director Background On September 20, 2015 the Parks and Recreation Department advertised for bids to purchase six (6) new 36” cut mowers. The replacement items are necessary as the current equipment is becoming less dependable. The new equipment will provide additional years of service and meets the requirements of the Cemetery operation. Discussion One bid was received from Heck, Inc. of Peabody, Kansas. The bid provides for six (6) new 36” riding mowers in the amount of $6,000 each. The total price of the bid is $36,000. Funds were budgeted this year for this purchase in capital account 10044405-85615. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the City Council approve the purchase of six (6) new 36” cut mowers. Grand Island Council Session - 10/13/2015 Page 154 / 175 Sample Motion Move to approve the purchase of six (6) new 36” cut mowers from Heck, Inc. of Peabody, Kansas. The total purchase price for equipment is $36,000. Grand Island Council Session - 10/13/2015 Page 155 / 175 Purchasing Division of Legal Department INTEROFFICE MEMORANDUM Stacy Nonhof, Purchasing Agent Working Together for a Better Tomorrow, Today BID OPENING BID OPENING DATE:October 1, 2015 at 2:00 p.m. FOR:Six (6) New 36” Cut Mowers DEPARTMENT:Parks & Recreation ESTIMATE:$36,000.00 FUND/ACCOUNT:10044405-85615 PUBLICATION DATE:September 20, 2015 NO. POTENTIAL BIDDERS:3 SUMMARY Bidder:Heck, Inc. Peabody, KS Exceptions:None Bid Price:Unit Cost Extended Cost Base Bid:$6,000.00 $36,000.00 cc:Todd McCoy, Parks & Recreation Director Patti Buettner, Parks Admin. Assist. Marlan Ferguson, City Administrator William Clingman, Interim Finance Director Stacy Nonhof, Purchasing Agent Mark Sands, Cemetery Superintendent P1842 Grand Island Council Session - 10/13/2015 Page 156 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-279 WHEREAS, the City of Grand Island invited sealed bids for Six (6) New 36” Cut Mowers for the Grand Island Cemetery, according to plans and specifications on file with the Parks and Recreation Department; and WHEREAS, on October 1, 2015, one (1) bid was received, opened and reviewed; and WHEREAS, Heck, Inc. from Peabody, Kansas submitted a bid in accordance with the terms of the advertisement of bids, plans and specifications and all other statutory requirements contained therein, such bid being in the amount of $36,000.00. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the bid of Heck, Inc. from Peabody, Kansas in the amount of $36,000.00 for Six (6) New 36” Cut Mowers for the Grand Island Cemetery is hereby approved as the lowest responsible bid. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 157 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-12 #2015-280 - Approving Purchase of Quint Fire Truck & Associated Equipment from Smeal Fire Apparatus Staff Contact: Cory Schmidt, Fire Chief Grand Island Council Session - 10/13/2015 Page 158 / 175 Council Agenda Memo From:Cory Schmidt, Fire Chief Meeting:October 13, 2015 Subject:Quint Fire Truck Presenter(s):Tim Hiemer, Division Chief Background The Grand Island Fire Department was authorized a budget of $750,000 for a new quint fire truck in fiscal year 2015-16. An obvious capital need was to replace aging emergency response vehicles. This need has been reinforced by the increasing maintenance costs associated with the fleet. The Grand Island Fire Department is seeking to purchase a quint fire truck which will allow a 1999 pumper and a 2000 ladder truck to be placed into reserve status. Discussion The Grand Island Fire Department contacted the Houston Galveston Area Council (H- GAC) to obtain pricing for quint fire trucks that will meet the needs of the citizens of Grand Island. The H-GAC provided a list of prequalified vendors and their equipment that have met the competitive bidding requirements of the City of Grand Island. From the list, a 2016 quint fire truck from Smeal Fire Apparatus was chosen at a price of $723,626, plus an additional $26,374 for modifications and non-standard loose equipment. This truck will allow for the Grand Island Fire Department to better protect the northwest section of the city along with giving better protection to the rest of the city. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Grand Island Council Session - 10/13/2015 Page 159 / 175 Recommendation City Administration recommends that the Council approves the purchase of the quint fire truck along with associated equipment from Smeal Fire Apparatus at a price of $750,000. Sample Motion Move to approve the purchase of Quint Fire Truck and associated equipment from Smeal Fire Apparatus for the price of $750,000. Grand Island Council Session - 10/13/2015 Page 160 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-280 WHEREAS, the Grand Island Fire Department was budgeted funds to purchase a quint fire truck; and WHEREAS, the H-GAC was utilized to secure competitive bids in accordance with City procurement policy; and WHEREAS, a 2016 quint fire truck manufactured by Smeal Fire Apparatus of Snyder Nebraska was chosen on price, body configuration, auxiliary equipment, warranty, and service at a purchase price of $750,000. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that a purchase order and subsequent payment is authorized for the Smeal quint fire truck is hereby approved. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 161 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item G-13 #2015-281 - Consideration of Approving Assessments for Water Main District Water Main District 466T - Airport Road This item relates to the aforementioned Board of Equalization item D-1. Staff Contact: Tim Luchsinger, Stacy Nonhof Grand Island Council Session - 10/13/2015 Page 162 / 175 *This Space Reserved for the Register of Deeds* R E S O L U T I O N 2015-281 BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the special benefits as determined by Resolution 2015- BE-10 shall not be levied as special assessments but shall be certified by this resolution to the Register of Deeds, Hall County, Nebraska, pursuant to Section 16-6,103 R.R.S. 1943. A connection fee in the amount of the benefit identified below accruing to each property in the district shall be paid to the City of Grand Island at the time such property becomes connected to the water main. No property benefited as determined by this resolution shall be connected to the water main until the connection fee is paid. The connection fees collected shall be paid into the fund from which construction costs were made to replenish such fund for the construction costs. According to the front foot and area of the respective lots, tracts, and real estate within such Water Main District No. 466T, such benefits are the sums set opposite the several descriptions as follows: Name Description Connection Fee ($) Bradley R. Petersen Part of the E ½, SW ¼, Section 33-12-9 78,828.00 Oscar Jr. & Rose Ann Bredthauer Part of the S ½, SE ¼, Section 33-12-9 155,133.79 Oscar Jr. & Rose Ann Bredthauer Part of the N 11AC of E ½, NE ¼, Section 4-11-9 76,467.16 Oscar Jr. & Rose Ann Bredthauer Part W ½ of the NE ¼, Section 4-11-9 39,446.87 Arthur E. & Dixie L. Ostermeier, Trustees Part of the W ½, SE ¼, Section 34-11-9 76,921.40 Alice R. Erion Part of the E ½, SW ¼, Section 34-12-9 75,905.34 Darling National, LLC, an Iowa Limited Liability Company Part of Lot 1, Wilson’s Subdivision 19,490.34 Copart of Connecticut, Inc., a Connecticut Corporation Lot 1, Garden Place 89,143.95 Grand Island Council Session - 10/13/2015 Page 163 / 175 Name Description Connection Fee ($) Douglas R. & Tamara K. Petersen Part of the NW ¼, NW ¼, NE ¼, Section 4-11-9 39,446.87 Douglas R. & Tamara K. Petersen Part E ½, NW ¼ , Section 4-11-9 60,915.53 Petersen Farms, Inc.Part of Lot 1, Wilson’s Subdivision 190,863.09 Petersen Farms, Inc. Part of the W ½, W ½, SE ¼, Section 34-12-9 9,849.76 Petersen Farms, Inc.Lot 2, Wichern Subdivision 21,779.45 Alice L. Bartlett, Trustee Part of the W ½, W ½, SE ¼, Section 34-11-9 7,889.37 Melvin Brahatcek Lot 1, Mader Subdivision 13,806.40 Enos C. & Sandra F. Peterson Part of the E ½, SW ¼, SE ¼, Section 34-12-9 7,172.16 Enos C. & Sandra F. Peterson Lot 1, Peterson Subdivision 6,694.01 Enos C. & Sandra F. Peterson Lot 2, Peterson Subdivision 1,195.36 Bethine Bonczynski Lot 1, Wichern Subdivision 10,423.54 Central NE Regional Airport Part SE ¼, Section 34-12-9 64,495.66 TOTAL All Connection Fees $1,045,868.05 --- Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 164 / 175 Grand IslandCouncil Session - 10/13/2015Page 165 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item I-1 #2015-282 - Consideration of Approving Amendment to the Redevelopment Plan for CRA Area 7 located at the Southwest Corner of the Intersection of Schimmer Road and Blaine Street (Hatchery Holdings, LLC) This item relates to the aforementioned Public Hearing item E-3. Staff Contact: Chad Nabity Grand Island Council Session - 10/13/2015 Page 166 / 175 Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney R E S O L U T I O N 2015-282 WHEREAS, the City of Grand Island, Nebraska, a municipal corporation and city of the first class, has determined it be desirable to undertake and carry out urban redevelopment projects in areas of the City which are determined to be substandard and blighted and in need of redevelopment; and WHEREAS, the Nebraska Community Development Law, Chapter 18, Article 21, Nebraska Reissue Revised Statutes of 2007, as amended (the "Act"), prescribes the requirements and procedures for the planning and implementation of redevelopment projects; and WHEREAS, the City has previously declared Redevelopment Area No. 7 of the City to be substandard and blighted and in need of redevelopment pursuant to the Act; and WHEREAS, the Community Redevelopment Authority of the City of Grand Island, Nebraska (the "Authority"), has prepared a Redevelopment Plan pursuant to Section 18-2111 of the Act, and recommended the Redevelopment Plan to the Planning Commission of the City; and WHEREAS, the Planning Commission of the City reviewed the Redevelopment Plan pursuant to the Act and submitted its recommendations, to the City, pursuant to Section 18-2114 of the Act; and WHEREAS, following consideration of the recommendations of the Authority to the Planning Commission, the recommendations of the Planning Commission to the City, and following the public hearing with respect to the Redevelopment Plan, the City approved the Plan; and WHEREAS, there has been presented to the City by the Authority for approval a specific Redevelopment Project within the Redevelopment Plan and as authorized in the Redevelopment Plan, such project to be as follows: property acquisition, site preparation, planning activities utilities extensions, landscaping, and fees associated with the redevelopment project. All redevelopment activities will occur in Grand Island, Hall County, Nebraska; and WHEREAS, the City published notices of a public hearing and mailed notices as required pursuant to Section 18-2115 of the Act and has, on the date of the Resolution held a public hearing on the proposal to amend the Redevelopment Plan to include the Redevelopment Project described above. NOW, THEREFORE, be it resolved by the City Council of the City of Grand Island, Nebraska: Grand Island Council Session - 10/13/2015 Page 167 / 175 - 2 - 1.The Redevelopment Plan of the City approved for Redevelopment Area No. 7 in the city of Grand Island, Hall County, Nebraska, including the Redevelopment Project described above, is hereby determined to be feasible and in conformity with the general plan for the development of the City of Grand Island as a whole and the Redevelopment Plan, including the Redevelopment Project identified above, is in conformity with the legislative declarations and determinations set forth in the Act; and it is hereby found and determined that (a) the redevelopment project in the plan would not be economically feasible without the use of tax-increment financing, (b) the redevelopment project would not occur in the community redevelopment area without the use of tax-increment financing, and (c) the costs and benefits of the redevelopment project, including costs and benefits to other affected political subdivisions, the economy of the community, and the demand for public and private services have been analyzed by the City and have been found to be in the long-term best interest of the community impacted by the redevelopment project. The City acknowledges receipt of notice of intent to enter into the Redevelopment Contract in accordance with Section 18-2119 of the Act and of the recommendations of the Authority and the Planning Commission with respect to the Redevelopment Plan. 2.Approval of the Redevelopment Plan is hereby ratified and reaffirmed, as amended by this Resolution, and the Authority is hereby directed to implement the Redevelopment Plan in accordance with the Act. 3.Pursuant to Section 18-2147 of the Act, ad valorem taxes levied upon real property in the Redevelopment Project included or authorized in the Plan which is described above shall be divided, for a period not to exceed 15 years after the effective date the redevelopment contract to be approved by the Grand Island Community Redevelopment Authority as follows: a.That proportion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the Redevelopment Project Valuation (as defined in the Act) shall be paid into the funds of each such public body in the same proportion as all other taxes collected by or for the bodies; and b.That proportion of the ad valorem tax on real property in the Redevelopment Project in excess of such amount, if any, shall be allocated to, is pledged to, and, when collected, paid into a special fund of the Authority to pay the principal of, the interest on, and any premiums due in connection with the bonds, loans, notes or advances of money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, such Redevelopment Project. When such bonds, loans, notes, advances of money, or indebtedness, including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such Redevelopment Project shall be paid into the funds of the respective public bodies. Grand Island Council Session - 10/13/2015 Page 168 / 175 - 3 - c.The Mayor and City Clerk are authorized and directed to execute and file with the Treasurer and Assessor of Hall County, Nebraska, an Allocation Agreement and Notice of Pledge of Taxes with respect to each Redevelopment Project. 4.The City hereby finds and determines that the proposed land uses and building requirements in the Redevelopment Area are designed with the general purposes of accomplishing, in accordance with the general plan for development of the City, a coordinated, adjusted and harmonious development of the City and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity; and the general welfare, as well as efficiency and economy in the process of development; including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of a healthful and convenient distribution of population, the provision of adequate transportation, water, sewerage, and other public utilities, schools, parks, recreation and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of unsanitary or unsafe dwelling accommodations, or conditions of blight. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 10/13/2015 Page 169 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item I-2 #2015-283 - Consideration of Approving Long Term Disability Contract Renewal Staff Contact: Aaron Schmid, Human Resources Director Grand Island Council Session - 10/13/2015 Page 170 / 175 Council Agenda Memo From:Aaron Schmid, Human Resources Director Meeting:October 13, 2015 Subject:Approving Renewal of Long Term Disability Policy Presenter(s):Aaron Schmid, Human Resources Director Background The City of Grand Island provides Long Term Disability coverage to employees as agreed to through labor agreements or as approved in the Personnel Rules. The City has contracted with Cigna Group Insurance since 2010 to provide this coverage. The current rate for coverage is .18 cents per $100 of wages. The contract with Cigna will expire at midnight on November 30, 2015. Discussion Cigna has provided a valuable benefit to a number of employees at the City of Grand Island. The current loss ratio continues to trend high due to claim experience. The City’s current loss ratio is averaging approximately 141%. Cigna has offered a two year contract extension at the negotiated price of $0.20 cents per $100 of covered payroll. Based on the analysis of our group’s current performance, it is recommended that the City accept the two year extension at the new rate. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve the contract with CIGNA Group Insurance companies to provide Long Term Disability coverage. Grand Island Council Session - 10/13/2015 Page 171 / 175 Sample Motion Move to approve contract with CIGNA Group Insurance companies to provide Long Term Disability Insurance coverage. Grand Island Council Session - 10/13/2015 Page 172 / 175 “Cigna” is a registered service mark, and ,” the “Tree of Life” logo is a service mark, of Cigna Intellectual Property, Inc., licensed for use by Cigna Corporation and its operating subsidiaries. All products and services are provided exclusively by such operating subsidiaries and not by Cigna Corporation. Such operating subsidiaries include Connecticut General Life Insurance Company (CGLIC), Cigna Health and Life Insurance Company (CHLIC), and HMO or service company subsidiaries of Cigna Health Corporation and Cigna Dental Health, Inc Alecia Patrick Regional Account Manager August 7, 2015 Calvin Strong Strong Financial Resources, Inc. RE: City of Grand Island - December 1, 2015 - Disability Renewal Dear Calvin, Thank you for allowing Cigna Group Insurance to provide the Disability benefits for the employees of City of Grand Island. We appreciate the opportunity to serve you both and assist in meeting your employee benefits needs. Based on our analysis of the group’s current performance, we have determined that there is a necessary rate increase to the Basic LTD plan. Below is an overview of our renewal position, effective December 1, 2015: Plan Policy Current Rate Rate Basis Renewal Rate Rate Guarantee Basic LTD LK 0962692 $0.18 Per $100 Covered Payroll $0.20 24 Months Please respond via email with your acceptance of the above rates. Thirty days prior to the above renewal date we will proceed with processing the amendments. Remember to update your premium reporting to reflect the new rates, and begin payment at the new rates, as of the renewal date listed above, to constitute active acceptance. Cigna reserves the right to change premium rates if any of the following occurs: • The policy terms change • A division, subsidiary, eligible company, or class is added/deleted • There is a change of more than 10% in the number of employees We value our relationship with you and look forward to continuing this partnership. Cigna is pleased to offer you pre-disability vocational services as standard feature along with your long-term disability policy. Pre-disability vocational services is a voluntary service feature of Cigna's Healthy Working Life™ program of vocational services to assist insured, actively at work employees with a serious medical condition to remain productive and at work, while also helping them manage limitations that may be associated with their condition. There is no cost to the policyholder for this enhancement which provides for approved stay-at-work expenses of up to $1,000 per employee per diagnostic event. A Schedule of Services delineating the details for this offering accompanies this letter, and if you currently are not receiving these services, here is the link to the client orientation website for this program www.cigna.com/predisability where you will also obtain all the information, tools and forms you need to use the service and make referrals. Should you have any questions regarding this renewal position or any other matters, please do not hesitate to call me. Thank you, Alecia Patrick Regional Account Manager Signature for Approval _______________________________________________________________________________ 7400 W 110th St Suite 400 Overland Park, KS 66210 Telephone: 913-323-2661 Email: Alecia.Patrick@Cigna.com Grand Island Council Session - 10/13/2015 Page 173 / 175 RESOLUTION 2015-283 Whereas, the City provides long term disability insurance to employees as prescribed in labor agreements and as authorized by the City of Grand Island Personnel Rules; and WHEREAS, the City of Grand Island has maintained a contract with Cigna Group Insurance since December 1, 2010 and has been offered a two year renewal contract with a $0.02 per $100 covered payroll price increase; and WHEREAS, the cost for Long Term Disability Insurance benefits will be $0.20 per $100 of wages; and WHEREAS, the proposed rate is guaranteed for a two year contract period; and WHEREAS, the contract will commence on December 1, 2015 and will renew annually through November 30, 2017. NOW, THEREFORE BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA that the Long Term Disability Insurance contract with CIGNA Group Insurance is hereby approved. - - - Adopted by the City Council of the City of Grand Island, Nebraska, October 13, 2015. _______________________________________ Jeremy L. Jensen, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Approved as to Form ¤ ___________ October 9, 2015 ¤ City Attorney Grand Island Council Session - 10/13/2015 Page 174 / 175 City of Grand Island Tuesday, October 13, 2015 Council Session Item J-1 Approving Payment of Claims for the Period of September 23, 2015 through October 13, 2015 The Claims for the period of September 23, 2015 through October 13, 2015 for a total amount of $6,420,543.54. A MOTION is in order. Staff Contact: William Clingman Grand Island Council Session - 10/13/2015 Page 175 / 175